Fitch Cuts Mozambique’s Rating, Citing Probable Bond Default

Fitch Ratings cut its assessment of Mozambique’s foreign-currency debt by one notch to CC, saying a restructuring of the nation’s sole dollar bond had become probable.

The cut came before Fitch’s next review scheduled for July 24, with the ratings company saying developments in the southeast African nation warranted earlier action. It pointed to the Mozambican authorities communicating their intention to engage with creditors on debt operations.