Fitch rating agency has deteriorated the sovereign rating of the United Kingdom after Brexit, explaining that the negative impact on the economy of the European Union exit the country. He downgraded from “AA” to “AA +».
The agency also announced a negative outlook on the rating further change. As noted on Fitch’s website, the results of the referendum on June 23 adversely affect the British economy, the financial system of the country and political stability.
According to Fitch experts, the results of the referendum will affect the decline in GDP growth and changes in the investment climate. In addition, when the uncertainty of the effects of the negative effect Brexit GDP was 1.6%, compared with a previous forecast of 1.9% in 2017 in 2016 – 0.9%, in 2018 – 0.9%
In the medium term, economic growth is also projected to be lower because of the less favorable conditions for export to the EU, reducing the level of migration and reduce the direct investment from abroad. The situation will largely depend on the future trade agreement between London and Brussels.
Other factors that will affect the future of economic development – the resignation of Prime Minister David Cameron and a possible referendum on independence in Scotland
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Earlier, rating agency S & amp; P also downgraded the credit rating of the UK immediately on two lines: from the highest AAA to AA with a “negative” outlook
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