Global banks? ratings deteriorate

While 78.3 per cent of bank ratings still have a stable outlook, Fitch expects negative ratings to increase throughout 2008.

“Higher funding costs are likely to exacerbate risk aversion and reduce lending demand, while a slowdown in economic growth would undoubtedly mean higher risk costs for banks,” said managing director of Fitch’s Financial Institutions Group, Alison Le Bras.

Published: 22-01-08