S&P will pull credit ratings for all Russian firms after the EU ban.
- EU sanctions block Russian credit-rating services access
- S&P rates Russia CC at two levels higher than the default.
After the European Union’s decision last Wednesday to ban companies from rating Russian entities, S&P Global Ratings has decided to withdraw its credit ratings on Russian entities.
Analysts Michelle James and Arnaud Hublot stated in a Monday statement that the withdrawal will occur before the April 15 deadline set by the EU. This follows the suspension of commercial operations by the rating agency in the country due to Russia’s invasion.
S&P has lowered Russia’s sovereign rating to CC in recent weeks. This is two levels below default. Last week, the rating agency stated that Russia’s debt was “highly susceptible to nonpayment”. This is similar to warnings by Fitch Ratings as well as Moody’s Investors Service.
