Calamos Supports Greece
GreekReporter.comGreek NewsEconomyMoody's See Risk of Greek Default At 7% Over 5-Yrs -Report

Moody's See Risk of Greek Default At 7% Over 5-Yrs -Report

Moody’s considers that under its base-case scenario the risk of a Greek default is about 7% over the next five years, according to a report Saturday in local newspaper Isotimia.
Earlier this week Moody’s cut Greece four notches to junk grade, the second major rating agency to do so this year.
“But under our base-case scenario which we consider fairly likely, we sees Greece implementing its program effectively as demanded, so that its debt to gross domestic product stabilizes at 150%,” Moody’s analyst Sarah Carlson said to the weekend financial paper.
Greece has agreed to impliment an austerity and reform program in exchange for a EUR110 billion bailout package from the International Monetary Fund and the European Union.
But Greek 10 year bond spreads over the German bund– an indicator of risk perception- remain persistently high at about 670 basis points, suggesting that the markets consider that a risk of default on debt and bankruptcy is still considerable.

See all the latest news from Greece and the world at Greekreporter.com. Contact our newsroom to report an update or send your story, photos and videos. Follow GR on Google News and subscribe here to our daily email!



Related Posts