'Grexit' would have little impact on other sovereign ratings: S&P
[LONDON] A Greek exit from the eurozone would be less financially risky for the remaining members than it would have been during the last scare in 2012, Standard & Poor's said in a report, citing a more robust eurozone rescue architecture.
Since 2012, policymakers have introduced the European Stability Mechanism, which can financially support euro zone sovereigns under market pressure following a "Grexit", the ratings agency said on Thursday.
Greece's links with financial markets have been sufficiently reduced to make a limited direct contagion less likely, Standard & Poor's credit analyst Moritz Kraemer said in the report.
The financial burden of an exit on the remaining 18 euro zone sovereigns would be moderate and absorbed over decades, Mr Kraemer said.
REUTERS
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
International
China’s Jan-March foreign investment inflows down 26%
South Korea government offers first compromise to end doctors' strike
Japanese AI tool predicts when recruits will quit jobs
India votes in gigantic election dominated by jobs, Hindu pride and Modi
Britain’s retail sales disappoint in sign of lacklustre recovery
Explosions in Iran, US media reports Israeli strikes