Akhir 05 , 1432 H. / March 10, 2011 -- Moody's has downgraded its credit rating on Spain, citing worries over the cost of the banking sector's restructuring and the government's ability to achieve its borrowing reduction targets, according to AP. The agency said Thursday that it was reducing its rating by one notch to Aa2 and warned that a further downgrade could be in the offing in the future. It said Spain remains vulnerable to disruptions in the financial markets, given the country's high funding needs for both the government, the regional governments and the banks. Earlier this week, Moody's Investor Services cut its rating on Greece too, prompting a sharp tirade from the Greek government about the role of credit rating agencies.
