Fitch Ratings has downgraded Sri Lanka’s Long-Term Foreign-Currency Issuer Default Rating (IDR) to ‘CC’, from ‘CCC’. Fitch typically does not assign Outlooks or apply modifiers for sovereigns with a rating of ‘CCC’ or below.
The downgrade reflects our view of an increased probability of a default event in the coming months in light of Sri Lanka’s worsening external liquidity position.
