Moody's put Russia's sovereign rating on review

Moody's was the first of the Big Three to put Russia's sovereign credit rating on review with the possibility of downgrading. The same procedure was carried out with respect to the Ukrainian rating

The international rating agency Moody's Investors Service has put Russia's long-term credit rating for obligations in local and foreign currencies, which is at the level of Baa3, on the list for review with the possibility of downgrading. This is stated in the message of Moody's received by RBC.

Moody's raised Russia's sovereign rating in February 2019 to the current level, which is the first stage of the so-called investment category (any stage below already belongs to the "junk" category).

The EU imposed restrictions on the deposits of Russians in Europe and the purchase of securities in euros Economics

At the same time, Moody's placed Ukraine's sovereign rating (B3) on the list for review with a possible downgrade.

The revisions are prompted by a "further military operation in Ukraine" that began on February 24. Moody's notes that tough additional sanctions announced by the West against RUSSIA pose a threat to Russian payments on its sovereign debt. For Ukraine, the military conflict poses a risk to its government's liquidity, given significant debt repayments and the dependence of the Ukrainian economy on foreign funding.