LONDON, Nov. 22 (Reuters) - Britain will not risk necessarily a deterioration in its sovereign rating if it chooses to leave the European Union in a referendum called for be organized before the end of 2017, said the senior analyst in charge of the country within Moody's. The agency Standard & amp; Poor's has downgraded the outlook of the AAA rating of Britain because of the risk on UK growth associated with the referendum. She also warned that "Brexit" could result in a downgrade of two notches. Kathrin Muehlbronner, vice president of Moody's, on the other hand told the Sunday Telegraph that the uncertainty caused by the referendum may not itself justify a downgrade of Britain. "What we are concerned, it is the strength of the economy and our opinion is that the economic impact would be negative for a Brexit The question is this:.? What will be the extent of the damage we simply witnessing a moderation of growth in the short term while Britain implements other policies that mitigate other effects down? "said she said. "In this case, it may well be that there is no impact on the note. For example, in a scenario of lower growth that does not change fundamental aspects of Britain, we see it as a very strong economy, vast, diversified and rich, with strong institutions. " S & amp; P is now the only agency to give Britain its top rating. Moody's and Fitch Ratings lowered their rating by one notch in 2013 due to a reduction in the slower than expected budget deficit. (Kylie MacLellan; Bertrand Boucey for the French service)
No comments:
Post a Comment