Japan became the latest sovereign nation to receive a credit rating downgrade today as Moody’s Investor Services lowered its rating on government debt one level lower to Aa3. Moody’s based the reduction on its assessment on Japan’s growing debt and the political instability as Japan prepares to elect its sixth Prime Minister in five years.
“Over the past five years, frequent changes in (Japan’s) administrations have prevented the government from implementing long-term economic and fiscal strategies into effective and durable policies,” Moody’s said.
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