Shock to Turkish economy from coup has largely dissipated: Moody’s

September 21 2016 14:13:50

Shock to Turkish economy from coup has largely dissipated: Moody’s

LONDON - Reuters

The shock to Turkey’s economy from the failed July 15 coup has largely dissipated, ratings agency Moody’s said on Sept. 21, adding it expected to conclude its rating review of the country within the next month.

“Turkey’s problems remain longer-term however,” Alastair Wilson, Moody’s managing director of Global Sovereign Risk, told Reuters, pointing to the country’s policymaking drives and the economy’s sensitivities to global interest rate shifts.

Moody’s said on July 18 it was putting Turkey’s credit rating on review for a possible downgrade to junk status.

Both Fitch and Moody’s rate Turkey at the lowest investment grade. This allows its bonds to be bought by conservative funds that require a country to be classed investment grade by at least two of the major agencies.