Moody's postponed publication of its latest ratings update on Israel at the last minute. The ratings agency has informed Ministry of Finance Accountant General Yali Rothenberg of the postponement. The agency was preparing for the rating and had visited Israel recently but the unexpected outbreak of the war brought about the change.
The significance of the postponement in practice is that Israel's credit rating remains unchanged at A1 with a stable credit outlook. The next scheduled date for a Moody's credit rating announcement is in another six months.
Last week Moody's issued a special report after the outbreak of the war which said, "In the past Israel's sovereign credit profile has shown resilience to terrorist attacks and military action. However, a prolonged conflict that durably and significantly impairs economic activity and policymaking would test that resilience."
Prior to the war Moody's had been warning for months that the government's judicial overhaul plans and the political instability it was causing could affect Israel's credit rating.
Israel's Moody's rating has remained unchanged for 15 years since it was raised to A1 in 2008. Fitch gives Israel its parallel rating of A+, while S&P's rating of AA- is one degree lower. S&P will publish Israel's latest credit rating next month, Globes reports.
