Fitch Ratings said on Thursday. The agency’s transition and default analysis show that global financial institution ratings fell by 0.15 of a notch on average from January 2020 to March 2021, compared with 0.84 of a notch during the global financial crisis (July 2007 to July 2009), and 0.71 of a notch for EMEA financial institutions during the eurozone crisis (January 2010 to January 2013). “Global FIs, including banks, non-bank financial institutions and insurance companies, experienced a significant increase in downgrades after the onset of the pandemic.
The proportion of ratings downgraded in 2020 was 13.6%, compared with 7.3% in 2019. However, downgrades were far fewer than those due to the global financial crisis, which exceeded 30%