Abstract:

Country credit rating explains the notes and opinions given by credit rating agencies about how much a country discharge its financial responsibilities. In this study, firstly Credit Rating Agency (CRA) is emphasized and lastly the determinants of country credit notes are analyzed. As country credit rating, the determinants of the notes given to Turkey and EU (17) countries by Moody’s Credit Rating Agency, which is one of the International Credit Rating Agencies, have been analyzed. The determinants of the country credit rating are chosen in accordance with theory and literature; and five different determinants have been discoursed. According to the results of the analysis conducted with panel regression model in 2002-2014, it is concluded that the growth rate of economic growth affects the country credit rating positively and balance of foreign trade affects the credit score negatively.

Keywords: