Moody’s predicts Niger’s default – Kommersant

The international rating agency Moody’s downgraded the rating from B3 to Caa2 – by two notches at once. Its further deterioration is likely, the Nigerian edition reports. business day.

Moody’s believes that sanctions from the Economic Community of West African States (ECOWAS) and the West African Economic and Monetary Union (UEMOA) will prevent the country from making debt payments, which by definition is a default. The restrictions include the suspension of all commercial and financial transactions with Niger, the freezing of state assets in central banks and commercial banks.

“A key driver of the downgrade is also the deterioration of Niger’s institutions and governance, which is reflected in the suspension of the constitutional order, with immediate implications for the government’s access to international donor support and security cooperation,” the agency said.

The rebellion in Niger began at the end of July. It was led by members of the presidential guard, led by General Abdurahman Chiani. The military imposed a curfew in the country, suspended the constitution, and also banned any political activity of parties. On July 28, General Chiani was named the new president of Niger.

About the reaction of Russia and the West to the events – in the material “Kommersant” “Niger was threatened with sanctions and the use of force”.

Leonid Uvarchev