Australia Ratings Affirmed At 'AAA/A-1+'; Outlook Remains Negative

OVERVIEW The sovereign credit ratings on Australia benefit from the country's strong institutional settings, its wealthy and resilient economy, monetary policy flexibility, and low government debt. The country's high external indebtedness and exposure to commodity exports moderate these strengths. We are affirming our 'AAA' long-term and 'A-1+' short-term sovereign credit ratings on Australia. The rating outlook remains negative, reflecting risks to the government's fiscal consolidation plan and risks to financial stability, economic outlook, and fiscal performance, should home prices fall abruptly with negative consequences for financial stability. RATING ACTION On Jan. 25, 2018, S&P Global Ratings affirmed its 'AAA' long-term and 'A-1+' short-term unsolicited sovereign credit ratings on the Commonwealth of Australia. The outlook remains negative. OUTLOOK The negative outlook

...OVERVIEW + The sovereign credit ratings on Australia benefit from the country's strong institutional settings, its wealthy and resilient economy, monetary policy flexibility, and low government debt. The country's high external indebtedness and exposure to commodity exports moderate these strengths. + We are affirming our '###' long-term and 'A-1+' short-term sovereign credit ratings on Australia. + The rating outlook remains negative, reflecting risks to the government's fiscal consolidation plan and risks to financial stability, economic outlook, and fiscal performance, should home prices fall abruptly with negative consequences for financial stability. RATING ACTION On Jan. 25, 2018, S&P Global Ratings affirmed its '###' long-term and 'A-1+' short-term unsolicited sovereign credit ratings on the Commonwealth of Australia. The outlook remains negative. OUTLOOK The negative outlook on the ratings reflects our view of the significant uncertainty around the ability of the budgetary position...

Ratings Action