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/RATINGS: Just worth recapping.....>

EMERGING MARKETS
EMERGING MARKETS: /RATINGS: Just worth recapping that on Tuesday Fitch noted
that "the shocks of the COVID-19 pandemic and plunge in commodity prices,
amplified by financial market dislocation, large capital outflows, a rise in the
US dollar and deep global recession add up to the most adverse economic
conditions facing EM in the modern era, Fitch Ratings says in a new report. The
sovereigns most exposed are those reliant on commodity exports, tourism or
remittances; with large external financing requirements, foreign-currency debt,
hot money inflows and low reserve buffers; or with generally weak credit
fundamentals such as high debt and weak policy credibility. Fitch has made 18 EM
sovereign rating downgrades so far in 2020, which is the highest ever annual
total in less than four months. There is also a sharp change in Outlooks with
now a net negative balance of 15 (despite the downgrades) from five at
end-2019."
- Link: https://tinyurl.com/ybo6zbxn
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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