Credit ratings fell sharply during the Eurozone crisis – why have they held firm through the pandemic?

The credit ratings of European countries have remained relatively stable during the Covid-19 pandemic, despite a sizeable increase in public debt. Judith Arnal, Pedro Cuevas, Isabela Delgado, Javier Muñoz and Lucia Paternina of the Spanish Treasury assess why this time appears to have been different from previous crises. Credit rating agencies play a crucial role ... Continued