Mounting debt: Moody's 'hasty' decision to downgrade Lebanon presses for fiscal reform - analysts

After credit rating agency Moody’s Investors Service downgraded Lebanon’s rating to Caa1 from B3 on Monday evening, citing heightened risk of default on its debt obligations, the country faces rising financial pressure to end the political stalemate that has paralysed much-needed reforms.

And while the rating agency’s decision to downgrade Lebanon was seen as ‘hasty’, according to analysts who have spoken to Zawya, its negative impact on the economy cannot be denied.