El Salvador hits skids

Only days after Hurricane Ida ripped by El Salvador, costing scarcely 200 lives as good as hundreds of millions of dollars in infrastructural damage, Moody's Investors Service this week downgraded El Salvador's emperor rating to "Ba1" from "Baa3." According to Reuters this elimates El Salvador's "investment class rating" to "junk bond" as good as "places a nation upon a disastrous outlook."

I don't know all a calculations which cause in to such decisions, nor a idealisation macroeconomic implications, though I know which they are not made lightly, as good as I know which a imaginable consequences for a political economy of El Salvador today are not promising. El Salvador had managed to stay afloat in a global financial crisis as good as a poltically inconstant region (most of a neihbors have hideous debt as well) even as a first presidential passing from one to another to a brand new celebration in scarcely 20 years starts to take root, these two vital shocks do not augur good for a Funes government's ability to oversee in an already cash-strapped as good as politically querulous envrionment.

Sources: Reuters, Bloomberg, El Diario de Hoy