Global 2024 Sovereign Credit Ratings Outlook

Morningstar DBRS has released a commentary on the outlook for global sovereign credit ratings in 2024.

Key highlights include:

-- Although we expect growth to either remain weak or further weaken in 2024, we have Stable trends across nearly all of our sovereign rating coverage.

-- While inflation is moderating in most major economies, we expect the major advanced economy central banks to maintain restrictive stances for the majority of 2024, as some inflationary pressures persist and labor markets remain tight.

-- Housing prices remain at or near peaks, boosting aggregate household wealth, but also creating affordability challenges. Despite concerns surrounding commercial real estate, overall financial stability risks appear contained.