S & P Cut Italy'S Rating To A&Nbsp, And Its Outlook Is Negative.

S & P lowered Italy on Monday.

Standard & Poor's announced today that the agency has lowered Italy's sovereign credit rating from "A+" to "A" and the rating outlook is "negative" (Negative).

Standard and poor's said that in a sovereign state rated "A",

Standard & Poor's also said that the agency will reduce the average economic growth rate in Italy from 2011 to 2014, from 1.3% to 0.7%.

The agency said: "we believe that the growth rate of Italy's economic activity after the downgrade will make it difficult for the government to amend its fiscal targets."

Standard and poor's said: "Italy's economic growth prospects are weakening, and we expect that Italy's fragile governing coalition and its policy differences with Congress will continue to limit the government's ability to respond resolutely to local and external macroeconomic challenges."

Earlier this year, sovereign credit ratings in euro zone countries such as Spain, Ireland, Portugal, Cyprus and Greece were also downgraded.

Italy Prime Minister Silvio Berlusconi (Silvio Berlusconi) adopted a 54 billion euro (73 billion US dollar) fiscal tightening plan this month to persuade the European Central Bank to buy Italy treasury bonds.

Before that, the cost of borrowing in Italy rose sharply in August to the highest level in the euro area.

The goal of Italy's austerity plan is to balance the budget in 2013, but this plan is not enough to shake up the S & P's decision.

A few weeks ago, standard & Poor's downgraded the US's "AAA" sovereign credit rating for the first time in August 5th.

Although the S & P move led to chaos in the global market,

The downgrade of Italy's sovereign credit rating is likely to aggravate the turbulent political situation in Italy. Prime Minister Berlusconi is facing four trials.

Last year, Italy government debt accounted for 119% of the total GDP, second only to Greece.