Laura Dew – Investment Week, 9/21/2015
Investors were given yet another reason to steer clear of Brazil after political turmoil and high debt levels saw ratings agency Standard & Poor’s downgrade the country’s status from investment grade to ‘junk’ this month.
S&P said the general government deficit is expected to rise to an average of 8% of GDP in 2015 and 2016, before declining to 5.9% in 2017 – versus 6.1% in 2014.
It cut Brazil’s credit rating from BBB-minus to BB-plus, while the outlook remains negative, meaning further downgrades could soon follow.
Brazil Portal 