Announcements
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19/7/2024 Research EN
Germany: 2025 draft budget tests debt brake flexibilities to partially address investment needs
The German government is maximising the modest leeway it has under the so-called debt brake to inject public funds into the economy, but the measures are insufficient for addressing the country’s large and widening investment gap.
19/7/2024 Research EN
Egypt gains room for manoeuvre but vulnerability to external shocks remains
Egypt’s public finances remain vulnerable to external shocks given the government’s limited fiscal space though external support, increased foreign direct investment and progress on reforms are improving resilience.
12/7/2024 Research EN
France: minority government may mitigate risk of fiscal slippage, but reforms unlikely
A hung parliament in France mitigates risk of significant fiscal slippage due to the policy agendas of the far right or radical left. Still, reform momentum will likely stall given the need for compromise by centrist parties and the political extremes.
5/7/2024 Research EN
UK: Labour government must prioritise pro-growth policies amid limited fiscal space
The Labour Party won a landslide victory in Thursday’s UK general elections but long-run challenges will endure, including dealing with rising debt and reviving the economy while hitting fiscal targets. But the results at a minimum ensure a clear mandate.
4/7/2024 Research EN
G7: rising debt heightens sovereign risks amid election uncertainty
Higher-for-longer rates heighten the stakes for sovereign debt sustainability especially as financial-market and institutional checks on excessive borrowing of rich countries are weaker than they were several years ago, says Scope Ratings.
3/7/2024 Research EN
France: electoral outcome set to slow growth reforms, fiscal consolidation, and EU policy agenda
France’s planned consolidation of its public finances risks being deferred considering the most likely outcomes of the legislative elections, with important consequences for the EU’s policy agenda and potentially euro area investor sentiment.
28/6/2024 Research EN
Scope proposes an update to its Government Related Entities Rating Methodology and invites comments
Scope Ratings calls for comments on its Government Related Entities Rating Methodology by 29 July 2024. The proposed update refines Scope’s analytical approach. No rating changes are expected as a result of this update.
21/6/2024 Research EN
Scope publishes updated supranational methodology following call for comments
Scope has published the final version of its supranational methodology together with a feedback report addressing market participants’ comments. The methodology update, which follows a call for comments released on 10 May 2024, has no rating impact.
19/6/2024 Research EN
Global economic update: soft landing reinforces prospect of higher-for-longer interest rates
A sustained period of higher interest rates will present a challenge for many borrowers worldwide, as economies adapt to a new era of comparatively tight monetary policy amid a recovery in growth and enduring inflation.
14/6/2024 Research EN
Belgium: nationalist parties raise risk of political gridlock and deterioration of fiscal outlook
Strong momentum behind the Flemish nationalists and separatists in Belgium’s federal election aggravates political fragmentation and polarization. It complicates forming a new government and the consolidation of public finances, a key credit challenge.