This site uses cookies to improve your experience and to provide services and advertising. By continuing to browse, you agree to the use of cookies described in our Cookies Policy. You may change your settings at any time but this may impact on the functionality of the site. To learn more see our Cookies Policy.
Dublin: 8 °C Thursday 23 January, 2020

Three top French banks downgraded by Moody's

The ratings agency says the ongoing euro crisis means the eurozone is a “fragile operating environment for European banks” at the moment.

Image: Adam Davy/EMPICS Sport/PA Images

CREDIT RATINGS agency Moody’s has downgraded three of France’s main banks over concerns about the bank’s access to market funding amidst the eurozone debt crisis.

Moody’s announced this morning that it was downgrading the overall strength ratings of BNP Paribas, Société Générale and Credit Agricole SA.

The agency cited risky debt levels and liquidity and funding restraints as some of the main factors behind the downgrades, adding that the severity of the eurozone crisis has increased. It also said that the eurozone was a “fragile operating environment for European banks”.

The move comes a day after the European Banking Authority warned that the three French banks, along with BPCE, have a capital shortfall of €7.3 billion. France must submit plans for tackling the funding shortfall to the EBA by 20 January 2012.

S&P puts whole of European Union on notice of possible downgrade

Hungary may adopt new EU deal – with UK veto the only obstacle to Treaty change

  • Share on Facebook
  • Email this article

Read next: