14 Nov 2016
Moody’s: Negative outlook for global sovereigns in 2017 as low growth, high debt limit policy options
The US-based credit ratings agency published their latest report on the global growth outlook, citing low growth, fiscal concerns and political risks as key reasons for negative outlook.
Key Points:
Outlook negative due to persistent low growth, fiscal concerns and political risks
Global growth to stabilize in 2017 as US and emerging market economies improve.
2017 global growth to rise around 3% and 2.6% in 2018
US economy f/cast to rise 2.2% in 2017 from 1.6% in 2016
Expect G20 emerging market growth to average about 5% in 2017 and 2018, up from estimated 4.4% in 2016
In Europe Moody's note lack of cohesion, risk of further fragmentation following Brexit among other events