Moody's she is still strict with the Pigs. In its latest report on the external imbalances of the Eurozone, the American rating company points out that the reforms launched so far by the peripheral countries of the Eurozone have improved the situation of their respective economies, but it will still take years to really solve the most serious problems.
“The implementation of a certain number of structural reforms by the peripheral countries of the euro area has allowed for improvements – reads the press release presenting the report -, but has not yet completely resolved the external imbalances that have developed in these Countries before the eurozone crisis. The correction is at best only half complete in the countries concerned and could still last several years".
In detail, according to Moody's, in countries such as Greece and Ireland the consolidation of the accounts could take up to 2016. Italy, Spain and Portugal they could instead emerge from the worst phase of the crisis by 2013 if they are able to apply the reforms launched so far.
Even stricter than Moody's is the sister Fitch. "The countries of the euro area could undergo a further downgrading of their ratings if they don't make progress in resolving their crisis by the end of the year – Fitch's ratings chief operating officer, David Riley, said this morning in an interview with Bloomberg TV -. The recession in Spain and Italy is eroding political support for austerity and the euro. If we don't see progress by the end of the year, there may be further downgrades."
