Pakistan’s credit ratings lowered

The Standard & Poor’s Ratings Services will be lowering the sovereign credit ratings of Pakistan if the killing of the political leader Benazir Bhutto is followed by high levels of violence in the country.

The S&P said that the killing of the leader is a blow to democracy and has created an uncertain situation in Pakistan .The election declared to he held in the country in January are also doubtful.

The agency said that the assassination is not the reason to reduce the ratings but the political and general weakening of Pakistan as an institution will lead to a rating downgrade. The low ratings will affect Pakistan economically by reduction in the foreign direct investment and Pakistan’s external liquidity position.