Israel's credit rating lowered again due to escalation of war.

londen - Israel's creditworthiness has been downgraded for the second time this year by credit rating agency Moody's due to the ongoing conflict in Gaza and the escalating conflict with Hezbollah.

Israel's creditworthiness has been downgraded for the second time this year by credit rating agency Moody's. Moody's reports that the country's creditworthiness has deteriorated due to the ongoing conflict in Gaza, which has lasted nearly a year, and the escalating conflict with Hezbollah. According to the agency, geopolitical risks have risen significantly, with adverse implications for Israel's creditworthiness in the short and long term. The conflict between Israel and Hezbollah has intensified significantly in recent days, Moody's stated in a report.

Israel's rating has been lowered by two notches, from A2 to Baa1, by Moody's. The outlook remains negative, meaning Israel will face higher borrowing costs. A decline in a country's creditworthiness implies that it must pay more interest when borrowing money.