Credit rating agency Scope downgrades Russia’s sovereign debt rating to ‘BB+’

(Reuters) – Credit rating agency Scope cut Russia’s sovereign debt ratings to BB+ on Tuesday and placed them under review for further downgrade, citing “severe strengthening” of the sanctions imposed on the country following its invasion of Ukraine.

“The severe strengthening in sanctions with an associated weakening of credit fundamentals and elevated geopolitical risk drive the downgrade,” the agency said.

Scope also downgraded Russia’s short-term issuer ratings to S-3 and placed them under review for further downgrade.

Russia’s invasion of Ukraine has triggered a flurry of credit rating moves, with S&P lowering Russia’s rating to ‘junk’ status, Moody’s putting it on review for a downgrade to junk, and S&P and Fitch swiftly cutting Ukraine on default worries.

(Reporting by Akriti Sharma in Bengaluru; Editing by Subhranshu Sahu)