Turkey: S&P scheduled to review its sovereign rating - TDS

Analysts at TDS point out that today S&P is scheduled to review its unsolicited BB (negative) FC sovereign rating for Turkey.

Key Quotes

“S&P rates Turkey one notch below Moody’s Ba1 (negative) and Fitch BB+ (stable). At its review in August of last year S&P left the rating and outlook unchanged. S&P warned that “economic and financial stability in Turkey may falter if monetary policy would not adequately curb the pressures on inflation”, but that the outlook could be revised to stable if “Turkey's fiscal position remains in line with a moderating government debt-to-GDP ratio, and if inflationary pressures disappear”. With the jury still out on whether the CBRT has tightened enough to really bring inflation under control, we expect no change today.”