Credit ratings and their impact on the cost of borrowing for companies

Abstract

This article examines the impact of credit ratings on the cost of borrowing for companies. Credit ratings serve as an important indicator of financial stability and creditworthiness, which directly affects the conditions for obtaining borrowed funds. It analyzes how changes in credit ratings affect interest rates and the availability of financing for various types of companies. The factors contributing to credit rating changes and their implications for the corporate sector are also considered. As a result, the article highlights the importance of monitoring credit ratings for effective financial resource management.