Fitch Ratings has revised from “stable” to “negative” its perspective for international long-term ratings of the private bank BAC San José and the state banks Banco Nacional, Banco Popular, Banco Internacional and Banco de Costa Rica.
From a statement issued by Fitch Ratings:
Fitch Ratings has revised the Outlook for international long-term ratings of four Costa Rican banks and a Panamanian subsidiary from Stable to Negative, after having revised the Perspective for Costa Rica’s sovereign rating from stable to negative :
– Banco BAC San José, SA (BAC San José);
– Banco de Costa Rica (BCR);
– Banco Internacional de Costa Rica (BICSA);
– Banco Nacional de Costa Rica (BNCR);
– Banco Nacional de Costa Rica (BPDC).
Fitch has affirmed the international ratings on short and long-term local and foreign currency (Issuer Default Ratings or IDRs), viability ratings (VR) and support ratings (SR) of these entities. These actions are the result of the recent revision of the Outlook for the sovereign rating of Costa Rica, from Stable to Negative. (see article Fitch’ Revises Costa Rica’s Outlook to Negative; Affirms IDRs at ‘BB +’, published on January 22, 2015 ).
Too bad. Another successful happy country (Costa Rica) is going to ruin itself by electing a left wing government.
Policies that generate a good standard of living for all, safe streets, good medical care, and lots of opportunities for young people are generally called “right wing” policies.
But after a few years of living a good life due to right wing policies, people take it for granted and vote for left wing politicians who promise fantastic things that are impossible to provide, but are so enticing that people turn their brains off and vote for them.
It’s easy to predict that after 4 years of a left wing government Costa Rica will be a have-not country with social unrest, ruined social system, and deteriorating infrastructure (just like Argentina, Greece, and Venezuela have done).