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Moody's downgrades Jamaica’s rating to Caa3
8:17 am, Thu March 7, 2013
Jamaica has been hit with another downgrade by the ratings agency, Moody's. The firm on Wednesday cut Jamaica's sovereign foreign currency credit rating to Caa3 from B3, citing the recent domestic debt exchange as a distressed event that still leaves the country with a high debt burden.
Jamaica last month launched a National Debt Exchange (NDX) to alleviate the financing pressures of its sizeable debt load.
Moody's in a statement outlining its reasoning for the rating action, said Jamaica's still high debt burden remains unchanged since the announced restructuring did not impose any principal haircuts. Moody's has projected that Jamaica's 2013 debt metrics, at 119 per cent of gross domestic product and 470 per cent of revenues, are among the highest of all rated sovereigns.
On Wednesday, Standard & Poor's raised Jamaica's credit rating to CCC+ from default, following the completion of the NDX which received support from 99 per cent of bondholders.
8:17 am, Thu March 7, 2013
Jamaica has been hit with another downgrade by the ratings agency, Moody's. The firm on Wednesday cut Jamaica's sovereign foreign currency credit rating to Caa3 from B3, citing the recent domestic debt exchange as a distressed event that still leaves the country with a high debt burden.
Jamaica last month launched a National Debt Exchange (NDX) to alleviate the financing pressures of its sizeable debt load.
Moody's in a statement outlining its reasoning for the rating action, said Jamaica's still high debt burden remains unchanged since the announced restructuring did not impose any principal haircuts. Moody's has projected that Jamaica's 2013 debt metrics, at 119 per cent of gross domestic product and 470 per cent of revenues, are among the highest of all rated sovereigns.
On Wednesday, Standard & Poor's raised Jamaica's credit rating to CCC+ from default, following the completion of the NDX which received support from 99 per cent of bondholders.
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