Australia’s economy is slowing and its credit rating agency says it could soon face a potential downgrade.
Photo: APBut while Australia’s credit rating is downgraded to junk, the creditworthiness of its business sector has not been affected.
Instead, the Australian Bureau of Statistics has downgraded its credit ratings from AA to AA+.
What’s more, its business credit score has been upgraded from AA-plus to AA-minus, meaning the agency says the country has the lowest number of business debtors in the world.
“The overall picture is that we are seeing that business credit ratings are going down, but we are also seeing that there is still some good creditworthiness in Australia,” said Dr James Kiefer, a senior research economist at the BIS.
“It’s a little bit of a mixed bag but it’s still positive.”
The ABC has sought to contact the Australian Taxation Office and the ABS but has not yet received a response.
What do you think?
Should Australia’s big business credit rating be upgraded to AA or BB?