The Fitch rating agency raised a notch Tuesday the rating of Greek debt, following the agreement between Athens and the European institutions granting troisème plan help.
Fitch upgraded to ‘CCC’ instead of ‘CC’ the rating of long-term debt of Greece, saying that the agreement of 14 August has reduced “the risk of a Greek default on its obligations to the private sector. “
The aid plan with a reform program which provides for payment of a first tranche of more than 20 billion euros “this week”, “should relieve tension in recent months that weighed on cash flow, and cover the repayment of 3.2 billion euros due on August 20,” the European Central Bank, the rating agency wrote.
She stresses, however, that “the risks that the program fails to remain high.”
“It will take time to restore confidence between Greece and its creditors,” said Fitch added also that “the Greek political situation remains unpredictable.”
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