Hungary Facing Rating Cut on Pension Risks, RZB Says
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Hungary’s credit rating will likely be downgraded in the “next few days” after a government plan to funnel assets from private pension funds to the state elevated risk sentiment, according to Raiffeisen Centrobank AG.
Moody’s Investors Service will make a decision this month on whether to cut Hungary’s rating from Baa1, the third-lowest investment grade, the ratings company said in October. Standard & Poor’s on Nov. 3 maintained Hungary’s rating at BBB-, one level above junk, with a negative outlook.