UBS Predicts Potential Fed Rate Cut Amid Strong US Economic Data 
Energy Sector Outlook 2025: AI's Role and Market Dynamics 
Wall Street Analysts Weigh in on Latest NFP Data 
Indonesia Surprises Markets with Interest Rate Cut Amid Currency Pressure 
China's Refining Industry Faces Major Shakeup Amid Challenges 
Stock Futures Dip as Investors Await Key Payrolls Data 
Mexico's Undervalued Equity Market Offers Long-Term Investment Potential 
US Futures Rise as Investors Eye Earnings, Inflation Data, and Wildfire Impacts 
Trump’s "Shock and Awe" Agenda: Executive Orders from Day One 
Oil Prices Dip Slightly Amid Focus on Russian Sanctions and U.S. Inflation Data 
Bank of America Posts Strong Q4 2024 Results, Shares Rise 
US Gas Market Poised for Supercycle: Bernstein Analysts 
U.S. Banks Report Strong Q4 Profits Amid Investment Banking Surge 
Gold Prices Slide as Rate Cut Prospects Diminish; Copper Gains on China Stimulus Hopes 
Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
Moody's Upgrades Argentina's Credit Rating Amid Economic Reforms 
China’s Growth Faces Structural Challenges Amid Doubts Over Data 
Notwithstanding an ongoing cyclical growth recovery, the growth outlook for Moody's rated sovereigns remains subdued when compared with the growth achieved in the decade before the financial crisis, says Moody's Investors Service in a new report.
The report "Sovereigns - Global Statistical Trends; Ten Years After the Global Financial Crisis: Subdued Growth and Higher Government Debt," is based on the sovereign data presented in the May 2017 issue of Moody's Country Credit Statistical Handbook. It draws conclusions across regions and globally and compares today's global growth prospects, government debt indicators, and monetary gauges to those from a decade ago and before the financial crisis.
Between 2008 and 2017 (F), real growth for Moody's rated sovereigns averaged 2.9% for Moody's, compared to 4.3% from 1998 to 2007. Looking ahead, Moody's expects global growth of 2.8% for 2017 to 2018.
"This slowdown in growth compared to the period prior to the global financial crisis has affected the fiscal profiles of our rated sovereigns," said Michael Brown, an Associate Analyst at Moody's. "Governments have been unable to rely on growth to reduce debt as a share of GDP."
Since the crisis, government debt metrics have deteriorated across both advanced and emerging market economies. Between 2007 and 2017F, the median increase in sovereign debt was 15 percentage points,
"The increase was due to a combination of spending during and after the crisis and the revenue impact of subdued growth since the crisis, " adds Shirin Mohammadi, also an Associate Analyst.
Moody's expects debt-to-GDP ratios to average 54% globally in 2017-18, compared with 37% in 2007-2008. Since growth has been lower in the years following the crisis, government debt ratios will likely remain at these higher levels for many rated sovereigns.
Subdued growth has kept interest rates low in the years following the crisis. For many sovereigns, low interest rates have supported their capacity to service this higher debt level. Indeed, interest burdens as a share of government revenues have risen less sharply than government debt ratios.
