Moody’s Rating Agency May Downgrade Israel over Gaza War

A cabinet meeting of the Israeli government. (Photo: Prime Minister of Israel's TW Page)

By Palestine Chronicle Staff  

The Moody’s rating agency warned Thursday that it could downgrade Israel’s credit rating due to the ongoing war on Gaza.

“While a short-lived conflict could still have credit impact, the longer lasting and more severe the military conflict, the greater its impact is likely to be on policy effectiveness, public finances, and the economy,” Moody’s said in a statement.

Moody’s added that its review will take into account the duration and scale of the conflict and how it affects Israel’s economy, institutions, and public finances. 

Last July, the credit agency had already warned that the controversial judicial overhaul could have plunged the country into instability, therefore hurting its economy and security. 

On October 7, Hamas launched the Al-Aqsa Flood operation, a surprise attack that included rocket launches and infiltrations into Israel, by land, sea, and air. 

The Israeli army launched a military aggression on the Gaza Strip, which killed 4,137 Palestinians and injured over 13,000 more.

(The Palestine Chronicle)

(The Palestine Chronicle is a registered 501(c)3 organization, thus, all donations are tax deductible.)
Our Vision For Liberation: Engaged Palestinian Leaders & Intellectuals Speak Out