The planned acquisition of Ceconomy AG by Chinese retailer JD.com could mark an important shift in European consumer-electronics retailing by creating a more formidable, deep-pocketed player in an already highly competitive sector.

Scope has updated its sub-sovereign methodology by integrating ESG factors into the core analytical framework and enhancing the institutional and individual credit profile assessments. No rating changes are expected as a result of this update.

Cyprus’s public debt is set to fall below 60% of GDP this year driven by robust growth and prudent fiscal policy while bad debts on bank balance sheets continue to decline, offsetting risks from a challenging geopolitical and external environment.

Unresolved divisions in France’s parliament risk exacerbating political instability and associated credit challenges given large budget deficits and rising public debt.

Buoyant markets, a resilient US economy, rising customs revenues, appeasement by trading partners and conducive politics point to further escalation in US trade tensions, already set to cut global output by an estimated 0.7pps in the medium term.

The Austrian government's planned fiscal consolidation is unlikely to stabilise general government debt-to-GDP over the next five years without further measures to help offset rising structural spending pressures amid the weak outlook for economic growth.

Higher US tariffs on imports from the EU represent an external headwind for Ireland’s export and corporate-tax dependent economy but the 15% tariff increase looks manageable without materially challenging the strong public finance outlook.

Scope Ratings calls for comments on its Sub-Sovereigns Rating Methodology by 1 September 2025. The proposed update refines Scope’s analytical approach. No rating changes are expected as a result of this update.

The Portuguese government’s payment of a pension bonus this year and multiyear corporate tax cuts will not reverse the declining public debt trajectory, but diminished fiscal leeway leaves less room for manoeuvre in case of future shocks.

Transatlantic trade tensions are contributing to a moderate deceleration in near-term economic growth in the European Union and euro area by around 0.4pps, even in a baseline scenario of the United States and the EU reaching a preliminary trade agreement.