Moody’s Ratings upgraded Greece’s rating to Baa3 from Ba1.
According to the rating agency, the upgrade reflects its view that Greece’s sovereign credit profile now has greater resilience to potential future shocks.
“The public finances have improved more quickly than we had expected. Based on the government’s policy stance, institutional improvements that are bearing fruit, and a stable political environment, we expect Greece to continue to run substantial primary surpluses which will steadily decrease its high debt burden. Moreover, the health of the banking sector continues to improve, which limits the risk of a banking sector-related credit event that could have a negative impact on the sovereign’s credit profile”, Moody’s said,.
