Polish Rating Cut for First Time as S&P Warns on Power Grab

  • Cut follows erosion of Poland's checks and balances, S&P says
  • S&P foresees reversal of `sound macroeconomic management'
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Poland had its rating downgraded by one of the three major credit assessors for the first time as Standard & Poor’s warned that policies of the new government are imperiling the nation’s institutions.

The company cut Poland’s debt grade to BBB+, the third-lowest investment level, in the first rating move for the country since 2007, according to a statementBloomberg Terminal issued on Friday. The country’s outlook is negative, meaning there’s at least a one-in-three chance of another cut over the next 24 months. Fitch Ratings affirmed its A- rating in a separate assessment.