S&P warns risk of Greek Cyprus default

There is a "material and rising risk" that Greek Cyprus will default on its sovereign debt, especially if the euro zone and International Monetary Fund do not come up with aid, rating agency Standard & Poor's said on Wednesday.

S&P warns risk of Greek Cyprus default

World Bulletin / News Desk

There is a "material and rising risk" that Greek Cyprus will default on its sovereign debt, especially if the euro zone and International Monetary Fund do not come up with aid, rating agency Standard & Poor's said on Wednesday.

"We see at least a one-in-three chance that we could lower the Cyprus sovereign ratings again in 2013, for example if official financial assistance from the ESM and/or IMF is not forthcoming, leaving the Cypriot authorities few choices apart from to restructure its financial obligations," S&P's head of EMEA sovereign ratings Moritz Kraemer said in a report.

"We could also lower the ratings if we believe the (Greek Cypriot) authorities are not able to fulfill the conditions that would be attached to an official assistance programme."

Last Mod: 20 Şubat 2013, 13:48
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