Exit strategies will pose problems for European sovereigns

The exit phase of the financial crisis “may be more difficult than the crisis itself”, according to the latest European Sovereign Outlook from Moody’s.

The agency will look at governments’ attempts to implement exit strategies from various initiatives designed to stabilise markets and foster recovery, but restated its earlier assumption many economies will not return to previous levels of growth. Greece, Portugal and Hungary are among the nations under closest scrutiny.

The ratings agency stressed

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