Credit rating agencies turn up the heat

“The ratings spook is back,” leads Belgium’s De Standaard on its front page. On May 23 the Fitch agency warned Belgium that the outlook for its credit rating (currently AA+) would drop from "stable" to "negative" if a government is not formed soon. The warning comes at a good time, writes the Brussels daily, as the mission of the new formateur, Elio Di Rupo, to form a new government, officially starts on May 24. "The political crisis continues to threaten the credibility" of the country, adds De Standaard, recalling that Standard & Poor's had already warned Belgium in late 2010, provoking "a first wave of shock." "Despite their squalid responsibility in the financial crisis, one might eventually thank the assessors," suggests a columnist. "Apparently, they are uniquely able to motivate the occupants of the Rue de la Loi [seat of government and the Belgian Parliament] to get a move on." The author hopes that "the cock will not need to crow a third time. Because if by autumn the political situation remains hopeless, the rating agencies will wake them up once and for all."