Publish date: Thursday 17 Rajab 1441 AH – March 12, 2020 KSA 14:11 – GMT 11:11 Source: Dubai – Arabic.net
Standard & Poor’s downgraded its foreign currency credit rating for Lebanon to a “selective default” default after the recent decision not to pay international bonds whose maturities expired on March 9th by $ 1.2 billion.
The agency added that the Lebanese government stopped paying the coupon and payments due on all international bonds until a comprehensive plan for debt restructuring was developed.
The agency kept its short and long-term credit rating in local currency unchanged at CC / C, and kept the outlook negative.
But Standard & Poor’s made it clear that it might raise Lebanon’s rank if the government obtained, for example, external financing that allows it to implement immediate and transformative reforms, or if the reforms lead to strong and sustainable economic growth.