In a significant boost to Greece's economic recovery, DBRS Morningstar has upgraded the nation's credit rating to BBB from BBB (low).
The move by the influential Canadian agency signals growing confidence in Greece's fiscal policies and its progress in overcoming a decade-long debt crisis.
"This upgrade is a vote of confidence in the government's economic choices," declared Greek Minister of Economy and Finance Kostis Hatzidakis.
He emphasized the need for continued fiscal prudence, stating, "Greece must maintain a prudent economic policy and stay away from populism and political instability."
The upgrade reflects Greece's successful efforts in reducing its debt burden, stimulating economic growth, and implementing key structural reforms.
The positive assessment comes despite heightened political tensions, with opposition parties criticizing the government's economic strategies.
DBRS Morningstar's decision holds considerable weight, as it is one of the four agencies recognized by the European Central Bank for determining collateral eligibility.
The upgrade is expected to enhance investor confidence and potentially lower borrowing costs for Greece, which has been steadily regaining access to international markets since exiting its bailout programs in 2018.
While the Greek economy has demonstrated resilience in recent years, exceeding eurozone average growth rates, challenges persist. High public debt and the need to address long-term structural issues remain key priorities.
The credit rating upgrade underscores the government's commitment to fiscal responsibility and highlights the importance of maintaining economic stability amidst a politically charged landscape. As Greece continues its recovery, the focus will be on sustaining economic momentum and avoiding policies that could jeopardize its hard-won progress.