Moody's changes Romania's outlook to negative
International rating agency Moody's followed Fitch and S&P in changing Romania's outlook from stable to negative, based on concerns about the fiscal situation aggravated by the political turmoil. All three major agencies rate Romania's…
iulian ernst · Journalist
· Updated · 2 min read
International rating agency Moody's followed Fitch and S&P in changing Romania's outlook from stable to negative, based on concerns about the fiscal situation aggravated by the political turmoil. All three major agencies rate Romania's debt at the lowest category in the investment-grade area – Baa3 in the case of Moody's.
The decision to change the outlook to negative reflects the risk that in the absence of the adoption of additional fiscal consolidation measures, Romania's fiscal strength will significantly weaken in coming years, the rating agency explained. Moody's expects Romania's debt-to-GDP ratio to exceed the 60% threshold during 2026.
