No rating change by Moody’s and DBRS
Moody’s and DBRS Morningstar on Friday night affirmed Greece’s credit rating, with a stable outlook, recognizing the progress the country has made and the resilience of its economy in a generally unfavorable macroeconomic environment, which they estimate will inevitably affect the country.
Moody’s maintained Greece’s credit rating at Ba3, leaving the outlook stable. The firm cited the improvement of Greece’s credit figures over the last two years, despite the ongoing challenges and the unfavorable macroeconomic environment in Europe.
As the US rating agency reports, the Greek authorities have made progress in reducing banks’ nonperforming loans (NPLs), which enables them to lend and support the economy.
Moody’s forecasts growth of 5.3% for 2022, driven by tourism, consumption and investment, and an improvement in exports. For 2023, however, it forecasts a sharp slowdown to 1.8%.
DBRS also maintained its credit rating at BB with a stable outlook for Greece. That reflects its view that Greece remains committed to ensuring its fiscal stability and debt sustainability, despite the adverse global economic conditions due to the war in Ukraine.
