Saudi Arabia sharply criticized Saturday the rating agency Standard and Poor’s (S & amp; P) has downgraded the rating on the eve of the kingdom, because of fears weighing on the deficit after the fall in oil prices. “The assessment is the result of a hasty reaction, unjustified and is not based on reality, said the Ministry of Finance in a statement, according to the official news agency SPA.
The agency is based on “temporary and unsustainable factors,” he continued, the rating agency S & amp;. P downgraded Friday by one notch to “A +” long-term rating of Saudi Arabia, leader of OPEC hit by lower crude prices.
The prospect of changes in the country’s rating remains negative, according to a statement from the American rating agency says it is prepared to lower the note in the next two years “if the government fails to sustainably reduce significantly and the deficit” of public finances
S & amp;. P says to expect that the budget deficit Arabia Arabia, one of the world’s leading oil producers, increased to 16% of gross domestic product (GDP) in 2015 against 1.5% in 2014, due to the sharp fall in oil prices.
In February, S & amp; P placed the rating of the kingdom negative outlook explaining that “because of its high dependence on oil,” the situation of public finances was now fading. The rating agency then reserved the possibility of lowering the rating of the time (AA-) in “the next two years.”
Between the end of June 2014 and the end of September this year, barrel of crude fell sharply from 90 dollars to less than $ 50.
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