Israel’s Credit Rating Downgraded Due to Geopolitical Risks

By Palestine Chronicle Staff

“We could lower the ratings on Israel in the next 24 months if the military conflicts become a bigger-than-anticipated detriment to Israel’s economic growth, fiscal position, and balance of payments.”

Global credit ratings agency Standard & Poor’s (S&P) downgraded Israel’s long-term rating from ‘A+’ to ‘A’ on Tuesday amid an escalating conflict with the Hezbollah movement in Lebanon. Following a similar move by Moody’s last week, the rating agency cited risks to Israel’s economy and public finances from the ongoing warfare with Hezbollah and a possible conflict with Iran.

‘Risk of Retaliatory Attacks’

The agency’s decision was originally scheduled for November 8 but was moved up “due to the significant rise in Israel’s geopolitical and security risks,” S&P said. Moody’s also downgraded Israel’s credit rating before Iran fired ballistic missiles at the country, adding to the ongoing conflict in Gaza.

Ongoing Genocide

As Israel faces international condemnation for its offensive in Gaza, the death toll rises. The conflict spreads to Lebanon, where Israel has faced resistance in the past. The international community warns of a wider regional war.

(Anadolu, PC)