Moody's Places Russia's Rating On Review For Downgrade

(RTTNews) - Moody's placed sovereign ratings of Russia on review for downgrade as the structural shock to the oil market is weakening the economy and public finance.

Moody's said it will assess the extent of the impact of the further sharp fall in oil prices during its two month review.

It expects Russia's real growth over the next four years to be just 0.4 percent. The agency also sees risks that the government would become overly reliant on a weak currency to offset the lower oil prices or else resort to central bank financing.

It will assess the government's ability to mitigate the impact of the recent fall in oil prices on Russia's credit standing.

Moody's also kept the ratings of Nigeria, Kazakhstan, Angola, Trinidad and Tobago and Gabon on review for downgrade.

Among Gulf Cooperation Council nations, Moody's included ratings of the United Arab Emirates, Kuwait, Bahrain, Saudi Arabia and Qatar on review for downgrade.