'Boom, bap, boom boom': The drums are beating for a credit rating downgrade

(Image: Getty)

Thu, 13 Mar 2025

Last year, I noted the risk of a sovereign credit rating downgrade. It would not be the end of the world, representing a margin of excellence tweak, but a dent in the Government's fiscal and economic credibility.Those drums for a downgrade are now starting to beat louder, with S&P Global Ratings recently downgrading the institutional framework assessment for local authorities. Mind you, it would be somewhat ironic for New Zealand to receive one, given ballooning debt levels in many other OECD nations such as the US and the UK. ...

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