Hatzidakis greets Greek upgrade by Fitch
Country’s credit rating now at investment grade from all major agencies except Moody’s
Fitch Ratings added itself on Friday night to the list of rating agencies that have reverted Greece to investment grade, raising its sovereign credit rating to BBB- from BB+.
What is more, Fitch said the Greek rating also has a positive outlook, which may well mean a further upgrade is on the horizon.
The move signifies that the majority of the major rating agencies have now reinstated Greece’s investment grade after 13 years in “junk status,” given that in October Standard & Poor’s also upgraded Greece to investment level. That followed similar rating decisions by DBRS Morningstar, as well as Scope Ratings and R&I.
Friday’s development has left Moody’s as the only major rating agency that has not yet upgraded Greece back to investment grade, as it needs to take the country up one more notch for that.
“The Greek economy’s credit rating upgrade by Fitch Ratings marking its ascent to investment grade is an important national success,” National Economy and Finance Minister Kostis Hatzidakis wrote on the X platform.
“Fitch is the third out of the four ECB-approved ratings agencies to grant our country the investment grade status in the last months. It is a move that confirms the progress the Greek economy has made and the even brighter prospects ahead, resulting from the implementation of our policies,” the minister noted.
“The upgrade sets the stage for stronger investment inflows, improved financing conditions for the economy, growth and increased employment,” Hatzidakis added.
He went on to stress that Fitch highlighted the record drop of public debt by 65 percentage points of gross domestic product, from 205% in the pandemic to 160.8% in 2023 and 141.2% by 2027.
“It also highlights the responsible fiscal policy we have followed, which ensures there will be funding for permanent and one-off social policy measures. It projects strong growth and political stability in the coming years along with progress in the banking sector,” the minister pointed out. Friday’s upgrade “is an important step leading our country higher as we continue to couple fiscal prudence with social sensitivity,” said Hatzidakis.
