Credit ratings of global financial institutions (FIs) experienced a weaker decline during the pandemic compared to previous crises in the 21st century, Fitch Ratings said in a report. On average, global FIs ratings decreased by 0.15 of a notch — a method of comparing ratings of debt issuers used by credit rating agencies — from January 2020 to March 2021. The effect of other recessions was much stronger. The global financial crisis caused ratings to fall by 0.84 of a notch during the period starting in July 2007 and ending in July 2009. Additionally, the eurozone crisis was responsible for a fall of 0.71 of a notch in ratings of European, Middle Eastern and African FIs, Fitch added. The comparison period for the change in credit ratings was between January 2010 and January 2013. Global FIs include banks, non-bank financial institutions and insurance companies. Still, the pandemic had a noticeable effect on ratings. In 2020, the share of ratings downgraded was 13.6 percent, up from 7.3 percent in 2019. However, the indicator reached above -30 percent levels in 2009. The report remarked that the reason ratings were relatively unaffected in 2020 was the government support for economies and borrowers which countered short-term credit risks. Moreover, due to strong vaccination programs in developed markets and the easing of some restrictions, the number of negative ratings outlook and watches on global FIs was continuously falling.