SYDNEY, May 11 (Reuters) - S&P Global (NYSE:SPGI) ratings on Tuesday said Australia could still lose its triple-A credit rating after the government announced a narrower budget deficit than first projected, but forecast several more years of shortfalls.
"The negative outlook on Australia reflects a substantial deterioration of fiscal headroom at the 'AAA' rating level and our view that risks remain tilted toward the downside," S&P said in a statement.
S&P said fiscal deficits would have to narrow toward their long-term trend over the next two to three years for Australia to maintain the credit rating.