Sovereign & Supranational

Highlights

• 16 May 2012
  • Sovereign Monitor focuses on Spain
    The newsletter looks at formidable challenges faced by Spain as the government seeks to consolidate its fiscal position, manage regional governments’ and banks’ liquidity risks, and implement reforms to improve competitiveness. The government is also facilitating structural adjustment amid continued private-sector deleveraging... Full Report
• 14 May 2012
  • Greek election outcome increases euro-exit risk, a credit negative for Greek banks
    Greece’s inconclusive election outcome, with the majority of the vote favoring political parties opposed to austerity measures, has increased the likelihood of a further, disorderly Greek default and ultimately of Greece’s departure from the euro area. A Greek exit from the euro would be a severe credit negative for Greek banks… Full Report
• 7 May 2012
  • Election outcome does not change our view of France’s Aaa credit rating, negative outlook
    While the winner of the French presidential election, Socialist François Hollande, is likely to be somewhat more focused on near-term growth, and medium-term fiscal consolidation, his plans are similar to those of the previous administration. His goal to balance public accounts for the first time since 1974 by 2017 will be a challenge – along with retaining policy credibility... Full Report