Friday, January 27, 2017

Only to junk status: Fitch Turkey’s lowers Rating NEWS


Saturday, 28. January 2017

Bad news for Turkey: The Fitch rating Agency reacted to the economic problems of the country, and classifies it to “BB+”. Meanwhile, Standard &amp threatens; Poor’s Turkey, with a further reduction.

The U.S. rating Agency Fitch Turkey’s credit rating downgraded to junk level down. The credit rating had been lowered one notch to “BB+,” said Fitch. The Outlook for the Rating was stable. So as not to further downgrade threatens. The political development after the coup attempt last summer had weakened the economic power, established the Agency to take the step.

The rating Agency Standard & Poor’s (S&P) threatens Turkey, meanwhile, with a downgrade of the credit rating deeper into the junk area. The Outlook was lowered to “negative” from “stable,” said S&P. The scope of the decision-makers in the fight against Inflation and the weakness of the Turkish Lira sank, it was said to the grounds.

More about

Turkish President Recep Tayyip Erdogan has repeatedly criticized the interest rate policy of the Central Bank. With the Note “BB” Turkish bonds as speculative investments. The Turkish Lira had fallen several times in recent weeks to record lows.

Economists hold significant interest-rate increases necessary to support the currency and to get a firm grip on Inflation. But Erdogan wants to keep interest rates low, with cheap loans to boost the economy. “Interest rate increases have a negative effect on the exchange rate and Inflation,” said Erdogan in his criticism.




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