Could attorney general law lead to a rating downgrade?
In its latest survey of the Israeli economy, Moody's warns against erosion of the independence of the legal system
Assessment
Moody's has explicitly linked the independence of Israel's legal system to the country's credit rating. The warning signals that a law affecting the attorney general's role could be seen as eroding that independence, making a downgrade a real possibility. Investors and policymakers will watch whether the legislation advances and how Moody's responds in its next review.