Moody's downgrades Russia's credit ratingStaff writer ▼ | October 20, 2014
The international ratings agency Moody's Investors Service downgraded Russia's credit rating to Baa2 from Baa1.
To Baa2 from Baa1 The Ukraine crisis and the sanctions
In a statement, Moody's said "the first driver for the downgrade...relates to the longer term damage the already weak Russian economy is likely to incur as a result of the ongoing crisis in Ukraine and, relatedly, the additional sanctions imposed against Russia."
Moody's added that it will maintain Russia's rating as "negative."
The agency said the even before the crisis in Ukraine, the International Monetary Fund said the growth rate in Russia was falling due to infrastructure problems and "shortfalls in labor skills and education." ■