Moody’s down the rating of Russia after the fall of oil – RTL.fr

Credit: EMMANUEL DUNAND / AFP

HQ Moody’s, September 12, 2012, in New York. (Archive)

The credit rating agency Moody’s downgraded a notch Friday, “Baa3,” the note debt of Russia whose finances are particularly sealed by the recent fall in world oil prices.

“The significant fall in oil prices and the shock of the exchange rate will undermine still more perspectives of growth already dark, “writes Moody’s. The note of the Russian debt is no longer only a notch in the category of obligations “rotten”, regarded as particularly risky for investors.

A ruble plummeting

According to Moody’s, the credit worthiness of Russia, already tested by the Ukrainian crisis, suffered from plummeting world crude oil prices , whose country is a major exporter , and capital flight which reduced its currency.

The ruble has lost about 16% since the beginning of the year against the dollar after a fall of 41% in 2014 caused in particular by economic sanctions imposed in Moscow for his alleged role in the crisis in Ukraine.

Russia, close to “economic recession”

The reduction of budget revenues of the country and “erosion” of its foreign exchange reserves will weaken “financial power” Russia, which approximates the economic recession, ensures the rating agency.

According to government forecasts, the Russian economy could well suffer a contraction of 4% of its gross domestic product and the budget deficit to 3% in 2015.

The editorial recommends