Moody’s: Possible Montenegro’s sovereign rating improvements

International Agency Moody's up to July might change the credit rating of Montenegro from the negative to the stable one. The change in credit rating from the negative to the stable is possible to occur in addition to Montenegro to the four emerging European economies, Hungary, Latvia, Lithuania and Estonia, if their economies recover from the recession and succeed in stabilizing the banking system. From Moody’s in Bloomberg, said that the economy of Montenegro, Hungary, Latvia, Lithuania and Estonia in the last three months is stabilizing and that the financial stance is recovering, thus likely changing their economic outlook to stable. Moody’s in December 2008, altered the sovereign rating of Montenegro from stable to negative one, BA2, followed by the new reduction in April last year, from BA2 to Ba3 with a negative overall rating. The Agency in August last year confirmed credit rating given in April. Moody’s then explained that the credit rating of Ba3 is primarily based on the assessment of low levels of economic and institutional power...