Sovereign debt credit ratings
April 28, 2010Jon Brooks Comments OffThe Greek and European debt crisis has thrown a spotlight on the credit ratings of entire nations. From the blog Credit Writedowns, here’s a list of all S&P sovereign credit ratings, from AAA to junk.
These ratings will in large part determine the rate of interest countries pay to investors who loan them money via purchase of bonds. The lower the rating, the higher the risk the rating agency has determined the country is, and the higher the interest rate that nation will have to pay to attract investors to buy its bonds.
On the other hand, considering the role that the ratings agencies played in the sub-prime real estate implosion, someone may want to rate the raters…
Some selected countries and their ratings. What is striking is the number of “negative” outlooks…
Country | Debt Rating | Outlook | |
United States | AAA | Stable | |
Canada | AAA | Stable | |
United Kingdom | AAA | Negative | |
Spain | AA+ | Negative | |
Ireland | AA | Negative | |
Japan | AA | Negative | |
China | A+ | Stable | |
Israel | A | Stable | |
South Africa | BBB+ | Negative | |
Russia | BBB | Stable | |
Brazil | BBB- | Stable | |
Iceland | BBB- | Negative | |
India | BBB- | Stable | |
India | BBB- | Stable | |
Greece | BB+ | Negative | |
Vietnam | BB | Negative | |
Philippines | BB- | Stable | |
Venezuela | BB- | Stable | |
Dominican Republic | B | Stable | |
Pakistan | B- | Stable | |
Iceland | BBB- | Negative | |
Ecuador | CCC+ | Stable |