Articles tagged with “sovereigncreditratings”

Fitch Ratings warns that new U.S. tariffs could negatively impact credit metrics for several AsiaPacific sovereigns, with Sri Lanka among the most vulnerable. The agency predicts slower Asian economic growth due to reduced exports and investment amid trade tensions. Policy responses by regional governments will play a crucial role in mitigating the effects on sovereign ratings. Fitch notes that currency interventions to counter depreciation pressures may shrink foreignexchange reserves. Countries with weaker external buffers, including Bangladesh, Sri Lanka, and Vietnam, face heightened credit risks if export earnings decline due to tariffs. The agency highlights uncertainty as a key factor weighing on the region's economic outlook.