HEC in the Press

S&P downgrades France's credit rating but market reactions were contained

MercoPress, 9 November 2013

France’s President Hollande has received a knock back as Standard and Poor’s, the rating agency, has cut its appraisal of the country’s credit worthiness. The rating has been reduced from AA+ to AA. Despite this, S&P maintain that France has a “stable” outlook with no further changes expected any time soon. David Thesmar, Finance Professor at HEC Paris, believes that for the moment, France has nothing to worry about: “If France enters the higher risk categories, refinancing would be a problem within months, but we’re a long way from that.”

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