(MENAFN- Kuwait News Agency (KUNA)) British Secretary of Business Vince Cable underestimated here on Sunday impact of Moody's rating agency's decision of lowering the United Kingdom's (UK) credit rating, describing the step as "largely symbolic."
In a statement to BBC, Cable affirmed that credit ratings of the United States and France were lowered in 2012 by major international agencies; however, they were not affected by it
and survived.
The credit rating has no direct negative effect, but it does give an image of difficult situations of current British economy, Cable noted, adding that his country's government is finding difficulties in attaining recovery and minimizing the general debt at the same time.
Also, Cable indicated that the austerity policy, adopted by UK government in 2010, remain the best option for local economy despite its slow-paced results, adding that the government does not intend to reduce or increase public spending.
On Friday, Moody's credit rating, a New York-based agency, said in a statement that expectations were that British growth would remain sluggish over the next few years and the government's debt reduction program faced significant challenges.
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