Hungary will probably need more measures to meet its budget targets as the lack of labor-market capacity make the government’s economic growth goals "very difficult" to reach, according to Moody’s Investors Service.
Anthony Thomas, a senior analyst at Moody’s Investors Service in London, commented on the possibility that private-sector owners of Portugal’s government bonds may be asked to participate in a bailout of the country as a condition for another European Union rescue. Thomas spoke in a telephone interview.
Portugal’s credit rating was cut to below investment grade by Moody’s Investors Service on concern the country will need to follow Greece in seeking a second bailout. The euro dropped for the first time in seven days.
Moody’s Investors Service’s optimism that Greece’s current pace of reforms will lead to an upgrade of the nation’s debt isn’t backed by evidence that a recovery is taking hold, according to Matrix Corporate Capital LLP.