Moody's: London, 04 May 2016 -- While reforms have strengthened the European Union in recent years, it remains vulnerable to any future shocks, leaving governments and other issuers of debt exposed to negative credit implications, Moody's Investors Service said in a report today.
The report, "European Union: Significant Political Change, Yet Economic Vulnerabilities Remain", is available on www.moodys.com. Moody's subscribers can access this report using the link at the end of this press release. The research is an update to the markets and does not constitute a rating action.
Since the global financial crisis and the European sovereign debt crisis, the EU has made progress in strengthening its institutions, including the establishment of the European Stability Mechanism, the European Banking Authority and other structures.
However, institutional reform and the euro area's integration are unfinished and have left the EU exposed to shocks and downside credit risks.