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Belgium Warned Over Debt Rating by S&P

Standard & Poor's has warned that Belgium may have its credit rating downgraded within six months in light of the country's ongoing political deadlock.

leie river ghent belgium
Keren Su | The Image Bank | Getty Images
leie river ghent belgium

The agency said Tuesday that prolonged political uncertainty could hurt Belgium's credit standing.

As a result, it said it has revised its outlook on the country's debt to negative from stable and that a downgrade could occur within six months.

Belgium has effectively been without a government since June after an inconclusive election was followed by an inability of the parties to forge a consensus across Belgium's linguistic divide.

The agency said that it could lower its rating one notch if the lack of consensus results in the government not being able to stabilize its elevated debt levels.

Contact Europe: Economy

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