London, Wednesday, 09 March 2022
Russia's long-term foreign currency rating has been downgraded by Fitch Ratings to C from B, the second downgrading in less than a week.
The C rating underscores the global rating agency's belief that a sovereign default is inevitable, according to a statement released late Tuesday.
Failure to make commercial debt payments, according to Fitch, might result in further negative rating action.
"Further escalation of sanctions, as well as initiatives to limit energy exports, raise the likelihood of a policy response by Russia that includes at least selective non-payment of its sovereign debt obligations," it said.
Fitch reduced Russia's rating to B from BBB on March 2, stating that its ratings had been placed on rating watch negative.
(Written and edited by: The Decision Maker)