International rating agency Standard & Poor’s (S&P) downgraded Israel’s long-term credit rating from ‘AA-‘ to ‘A+’ due to worsening relations with Iran. This was reported by TASS.
It was noted that Israel’s long-term credit rating in both foreign and local currencies was downgraded from “AA-” to “A+” and its short-term credit rating was downgraded from “A-1+” to “A-1”.
“The outlook for long-term ratings is negative,” S&P said in a statement.
They noted that the Jewish state’s state budget deficit will rise to 8% of GDP in 2024, mainly due to increased defense spending.
In the statement, it was stated that the downgrade was due to the increasing geopolitical risks faced by Israel following Iran’s attacks on its territory.
Before that, Moody’s downloaded Israel’s long-term foreign and local currency rating is “A1” to “A2” with a negative outlook due to ongoing hostilities.
Previously reportedIt is stated that if the conflicts in the Middle East intensify, Brent oil prices will rise to 100 dollars per barrel.
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Source: Gazeta
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