A growing group of countries are likely to see their credit ratings come under pressure as rising global interest rates take a toll on their already strained finances, warned one of the world’s largest rating agencies, S&P Global.
A new report published by the company’s top analysts on Wednesday said heavily indebted Italy could face its biggest debt as a percentage of GDP since 2012 without ECB help, while Ukraine, Brazil, Egypt, Ghana and Hungary are the most vulnerable countries among emerging markets.
“Rising rates appear to be fiscally challenging for a minority of developed market sovereigns and at least six of the 19 emerging market sovereigns,” said the S&P report, which assumed borrowing costs will rise by about 300 basis points in next three years.
Source: CNN Brasil
