By: RFA
September 29, 2012
Global ratings agency Moody’s on Friday lowered its credit rating for Vietnam, saying the government faced an “elevated risk” of bailing out the nation’s banks, which are mired in toxic debt.
Vietnam is expected to be hit by lower medium-term economic growth stemming from its banking problems, Moody’s Investors Service said in a statement as it reduced the government’s debt rating to “B2” from “B1” with a “stable” outlook.
There is “a higher likelihood that contingent risks to the government’s balance sheet will be realized due to more pronounced weaknesses in the banking system,” it said.
Read more: http://www.eurasiareview.com/29092012-moodys-cuts-vietnams-credit-rating/
