Stable
Sovereigns – Global
The global economic rebound will continue into 2022, easing immediate credit pressures for governments in most regions and enabling a slow unwinding of support measures. Read the analysis to understand the ramifications of the unprecedented levels of government debt, the social and institutional costs of the pandemic, and the differing impacts on advanced and emerging economies.
Moody’s outlook for sovereign creditworthiness for the next 12-18 months has changed to stable from negative as the continuing economic recovery will improve revenues and allow governments to start unwinding some of the extraordinary stimulus they provided in response to the pandemic. However, the far-reaching economic support provided to households and many sectors during the pandemic has left sovereigns with weaker balance sheets. Once growth rates return to the pre-pandemic trend, most sovereigns will struggle to maintain sufficiently large primary fiscal surpluses to recover lost fiscal space before the next major shock.
INFOGRAPHIC
Sovereigns – Global
3 November 2021
Sovereigns – Global
Get the full report
Confirm cancellation
Something went wrong.
An error occurred trying to play the stream. Please reload the page and try again.
CloseCreate Account
You will need a Moody's Events account to register.
This account gives you access to:
- Live events and on-demand content
- Exclusive research reports
- Personalise your interest/preferences