Credit rating agency Moody’s has downgraded the credit scores of the Flemish Community, the French Community, and Wallonia following Belgium’s federal rating drop last week.
On Friday, Moody’s lowered Belgium’s sovereign credit rating from Aa3 with a negative outlook to A1 with a stable outlook.
The downgrade reflects concerns over the federal government’s ability to implement adequate measures to stabilise the nation’s debt levels, despite ongoing budgetary and structural reforms.
As a direct consequence, the Flemish Community’s rating fell from Aa3 to A1, the French Community’s rating dropped from A2 to A3, and Wallonia’s rating moved from A3 to Baa1.
