Mongolia Rating Cut as Moody’s Expects Elevated Debt Burden
- Heightened risk stems from uncertainty over securing finance
- Large-scale mining and infrastructure seen as way out of debt
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Mongolia’s debt rating was downgraded by Moody’s Investors Service as there is "heightened uncertainty" over the government’s ability to meet its debt service obligations over the next two years and an expectation that the debt will increase.
The nation’s long-term issuer and senior unsecured rating was cut one step to Caa1 from B3 by Moody’s, the same level as Barbados and Belarus, with a stable outlook, the debt rating company announced on Friday.