Standards and Poor’s downgrades Grenada

NEW YORK, CMC – The US-based Standard & Poor's Ratings Services has lowered its foreign and local currency sovereign credit ratings on Grenada to 'SD' (selective default) from 'CCC+/C'. "The downgrade to 'SD' follows the government of Grenada's announcement that it will not pay the coupon due March 15, 2013, on its U.S. dollar and Eastern Caribbean dollar bonds due in 2025," said Standard & Poor's credit analyst Joydeep Mukherji. The newly elected Grenada government recently announced that it does not expect to have the funds to pay the coupon during the relevant grace periods. The government plans to service its Treasury bills registered in the regional government securities market.