Fitch announced the impact of the earthquake on credit ratings

Credit rating agency Fitch Ratings announced that the operational disruptions caused by the Kahramanmaraş earthquake are not likely to affect the credit ratings of Turkish companies.

Noting that it based those assessments on initial feedback from the issuing institutions, Fitch said that neither the production facilities nor the operating assets of the companies within the scope of the assessments suffered serious damage from the earthquake.

TOO EARLY TO MEASURE IMPACT

However, considering the severe damage caused by the earthquake to logistics and infrastructure, Fitch stated that it is too early to fully determine the indirect impact of the earthquake on the operations of issuing companies, stating that the full macroeconomic impact of the earthquake has yet to be measured.

Despite swift recovery efforts from the earthquake, Fitch expects consumer demand and supply chains to take a hit in the near term. Fitch stressed that he expects the impact of the earthquake on companies to be moderate and have limited impact on their companies’ credit ratings. (Reuters)