A new report released by international credit rating agency Moody's revealed that credit ratings in the eurozone are expected to pursue a stable outlook in 2016 and 2017, but warned that political risks in the eurozone have risen.
The report underscored that the decline in structural reform efforts and the challenges arising from the current political environment create long-term risks for the region.
"The rise of unpredictability in the political environment limits the growth potential of countries' credit ratings and creates long-term risks," according to the report.
"The possibility that the United Kingdom might exit the European Union might constitute obstacles for reform practices and lead to the rise of separatist and anti-EU political parties. The refugee crisis is an additional source of division for the union and creates obstacles for long-term integration in the eurozone. Financial consolidation and reform efforts are unsatisfactory."
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