France stripped of prized 'AAA' credit rating by Moody'sSubmitted by emalvini on Tue, 11/20/2012 - 09:48
France stripped of prized 'AAA' credit rating by Moody's
France has suffered a serious blow to its economic credentials after being stripped of its prized AAA credit rating by Moody’s.
By Jonathan Russell, Assistant City Editor
10:41PM GMT 19 Nov 2012
The rating agency said France’s long-term economic growth had been hit by its inflexible labour market and low levels of innovation eroding its competitiveness and industrial base.
Moody's also flagged up the country’s exposure to the continuing eurozone crisis.
It warned the “predictability” of France’s resilence of further shocks in the eurozone was diminishing while the country’s exposure to the highly indebted countries such as Spain and Greece was disproportionately high.