Moody’s Downgrades Israel’s Debt Raiding Amid Ongoing Conflict

Rating agency Moody’s downgraded Israel’s debt on Friday, pointing to the ongoing war conditions and warning that the country’s budget deficit will be “significantly larger than expected” in the coming years. Israel’s debt rating has been downgraded from A1 to A2, Moody’s said in a Feb. 9 report, while pointing out that the country’s outlook is negative. The downgrade review was initiated back in October following Hamas’ attack on Israel. The main driver for Moody’s assessment is that the ongoing conflict with Hamas, its aftermath, and wider consequences will “materially raise political risk for Israel as well as weaken its executive and legislative institutions and its fiscal strength for the foreseeable future.”...