Moody’s Investors Service, on Thursday, downgraded the Government of Tunisia’s long-term foreign-currency and local-currency issuer ratings to Caa1 from B3 and maintained the negative outlook, it said in a statement.

The rating agency has also downgraded the Central Bank of Tunisia’s senior unsecured ratings to Caa1 from B3 and the senior unsecured shelf rating to (P)Caa1 from (P)B3 and maintained the negative outlook. The Central Bank of Tunisia is legally responsible for the payments on all of the government’s bonds.

“The downgrade to Caa1 reflects weakening governance and heightened uncertainty regarding the government’s capacity to implement measures that would ensure renewed access to funding to meet high financing requirements over the next few years,” Moody’s pointed out.

Source: Tap News Agency