We believe the timeliness and magnitude of Barbados' fiscal consolidation is uncertain because of a worse-than-anticipated economic recession. We're revising the outlook on Barbados to negative from stable. We're affirming the 'BBB' long-term and 'A-3' short-term foreign currency sovereign credit ratings. The negative outlook reflects the possibility of a downgrade if the authorities fail to consolidate the general government deficit (estimated at 7.1% of GDP in 2009) and to curb the rising debt. We forecast net government debt at 52% of GDP this year, up from 42% just three years ago. On Nov. 13, 2009, Standard&Poor's Ratings Services revised its outlook on Barbados to negative from stable. At the same time, we affirmed the 'BBB' long-term foreign and
