Fitch Ratings comments on Australia's AAA rating:
- Falling commodity prices will hit the budget bottom line and mean Australia needs to be more fiscally vigilant, but it is not at risk of losing its AAA credit rating, Fitch Ratings agency says.
- Australia's reliance on commodities and a large share of debt held by foreign investors make it more sensitive to global factors, Mr Tang said, warning that debt can increase quickly - but Australia's banks and governance give it a strong buffer.
- "There is still little evidence to suggest Australia's AAA rating will come under threat over our usual rating horizon of about two years," Mr Tang said.
- "Longer term, the outlook is inevitably more uncertain. The Australian economy is at a critical juncture, as the mining investment boom fades and other sectors become more important engines of growth."
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Earlier I posted this ... Australia ratings risk - "Lack of a credible medium-term fiscal consolidation plan"