NEW YORK May 16 Moody's Investors Service on
Thursday cut Bermuda's government bond rating to Aa3 from Aa2
and warned more cuts could be coming as the country's economy
The outlook is now negative, Moody's said in a statement.
"The downgrade was prompted by the steep rise in government
debt and the lack of an economic recovery from the downturn at
the time of the crisis," the statement read.
But the rating agency also cited the country's high per
capita income and strong institutions as supporting the rating.
Standard & Poor's rates Bermuda AA-minus with a negative
outlook. Fitch rates the country AA with a stable outlook.