On Wednesday rating agency Moody’s affirmed deposit ratings of A2 (long-term) and P-1 (short-term), keeping stable outlook for the long-term deposit rating. The A2 long-term issuer ratings and senior unsecured debt ratings were also affirmed, and the outlook on these ratings was changed to negative from stable.

List of affected ratings:

Moody’s reasons that the change of the outlooks reflects the weakening credit profile of the sovereign and its weakened capacity to provide support to Slovenská sporiteľňa in case of need.

Outlook for Slovakia Government’s rating was changed due to significant energy dependence on Russia, namely on natural gas and oil. Although the agency admits the government’s response was mostly adequate, it deems potential permanent reduction in gas supply from Russia as high risk for public finances in the future.