European banks in danger of having credit scores reducedMonday 16 April 2012
More than 100 European banks are in danger of having their credit scores reduced in the near future, it has emerged. Leading rating agency Moody’s has announced today (16 February) that 114 financial institutions across the continent – along with another 17 globally – could be in line to experience a reduction due to their exposure to the ongoing eurozone debt crisis.
Recently, fears have been raised that issues across the continent are beginning to spread throughout the worldwide financial system and Moody’s therefore decided to conduct a review into the long-term prospects of companies in the sector. The body has decided that household names in the banking arena – such as Barclays, BNP Paribas, Goldman Sachs and Morgan Stanley – may all undergo a downgrade as a result of this.