Credit Ratings for Seven German Banks Downgraded
On Wednesday, the international agency Moody’s downgraded the credit rating for seven German financial institutions. Commerzbank AG, Germany’s second largest bank, stands among the downgraded financial institutions. Some experts contend that the nation’s largest bank, Deutsche Bank, will also soon face a downgrade in its credit rating. Despite the strength of the German economy, this downgrade in credit rating signifies the increasing risks for German banks in the midst of the debt crisis. In February, Moody’s announced its intent to reevaluate the credit ratings of approximately 100 international financial institutions. Moody’s will continue to rate European banks, and many assume that Germany’s southern neighbors will fair substantially worse.
Additional reading:
“Moody’s stuft sieben deutsche Banken ab”
“Moody’s Downgrades 7 German Banks”
Moody’s droht Großbanken weltweit mit Herabstufung
