Moody’s lowers in turn the rating of Greece – The World

After Fitch and Standard and Poor’s, the rating agency Moody’s lowered the rating of Greek debt on Wednesday 1 ^st of July. Pointing to the “additional risk” that the planned referendum on Sunday would place on private creditors of the country, the agency has relegated the country’s rating to “Caa3″ one notch category “imminent payment default” .

The Greek voters are called on Sunday to approve or reject the European proposals subordinating the resumption of financial assistance to a savings plan. The ruling party Syriza calls for “not massive” . “A no victory would increase the risk of an exit from the euro zone would lead to significant losses for private creditors” , says the rating agency. Two other agencies, Fitch and Standard and Poor’s, have also revised downward Greek note.

Private creditors would hold around 30 billion euros of Greek debt a total of about 280 billion. The Moody’s announcement came a day after the Greek default vis-à-vis the IMF, which however did not influence his decision. Rating agencies are interested only the debt held by private investors.

However, Moody’s notes that the misadventures of Greece with the IMF reflected both “his uncertain finances “ and ” difficult relations “ with its public creditors.

Far from the political debate, the European Central Bank also kept unchanged the ceiling of the emergency assistance (Emergency Liquidity Assistance ELA) to Greek banks on Wednesday.