S&P points to upcoming rating upgrade
Greek economic outlook has been shifted to 'Positive'
Standard & Poor’s refrained from granting investment grade to the Greek economy on Friday, but showed it intends to do so in its next rating action, as it upgraded Greece’s outlook from “Stable” to “Positive,” in a move largely expected by markets.
S&P affirmed Greece’s rating at “BB+” that is one notch below investment grade, given also the uncertainty the upcoming general election generates. However its outlook shift to “Positive” shows that Greece is likely to emerge from “junk” status in the course of the year, for the first time after more than 13 years.
The international rating agency had upgraded Greece from “BB” to “BB+” a year ago, i.e. in April 2022, but had a “Stable” outlook for Greece since.
The next rating decision by a major agency is expected after the May 21 general election, i.e. on June 9 by Fitch, that also has Greece on “BB+” but with a “Stable” outlook.
