24 Feb 2010

Credit rating downgrade for Greece's four big banks

2:04 pm on 24 February 2010

The credit ratings of Greece's four largest banks have been downgraded by ratings agency Fitch.

Explaining its decision, Fitch said Greece's planned public spending cuts would result in fewer demands for bank loans, thereby hitting banks' profits.

Analysts said the move would make it more expensive for the banks to borrow funds, and the government to get loans.

Greece is working to trim a budget deficit way above eurozone rules, the BBC reports.