Moody’s inflicts another downgrade on Panama

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Moody’s inflicts another downgrade on Panama

Panama City, storm, trouble, clouds, outlook, LatAm, 575
Panama City, view of Punta Pacifica district, boats waiting to enter the Canal and the Trump Tower Skyscraper at sunset | Diego Cervo/diego cervo - stock.adobe.com

Moody’s became the third rating agency in four months to downgrade Panama’s sovereign rating, cutting the borrower from Baa1 to Baa2 on Wednesday afternoon on the back of an “unusually large” erosion of the country’s fiscal strength during the coronavirus pandemic.

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