Cyprus Property News magazine for overseas buyers & real estate investors

Friday 10th July 2020
Home Investor Centre Fitch upgrades Cyprus to 'BB-'

Fitch upgrades Cyprus to ‘BB-‘

Fitch ratings upgrades CyprusFITCH Ratings has upgraded Cyprus’ long-term foreign and local currency Issue Default Ratings (IDRs) by one notch to BB- from B+, the agency announced on Friday.

In its press release Fitch said “The issue ratings on Cyprus’ senior unsecured foreign and local-currency bonds have also been upgraded to BB- from B+. The Outlooks on the long-term IDRs are positive. The Country Ceiling has been upgraded to BBB- from BB+ and the short-term foreign and local currency IDRs have been affirmed at B,”

And that “Cyprus is continuing to make strong progress in its adjustment following the 2013 banking crisis.”

Fitch projected GDP growth of 2.9% in 2016 (from 1.9% projected a year earlier) referring to the positive results of tourism and the drop recorded in unemployment.

“For 2017-2018, GDP growth of around 2.5% will benefit from an expected increase in foreign direct investment,” it says.

However, Fitch considers that banks remain weak and pose an on-going to economic stability due to the high level of non-performing exposures.

The agency also reports that “The property sector remains illiquid but prices seem to be stabilising at around 30% below their 2008 peak.”

Further reading

Fitch Upgrades Cyprus to ‘BB-‘; Outlook Positive


  1. Ratings agencies. Weren’t they the ones who once graded Iceland as a triple-A investment? At the time they were borrowing roughly 11x their annual GDP.

    I have difficulty even saying “ratings agency” without cracking a smile…

Comments are closed.



EUR - Euro Member Countries


Cyprus’ largest ever housing project will help low-income families

Limassol municipality and the Land Development Corporation (KOAG) reached an official agreement on Thursday regarding the establishment of the largest housing project ever undertaken in Cyprus, worth €100 million.

Corrupt lawyers continue to plunder estates

Corrupt lawyersin Cyprus continue to plunder the estates of their deceased clients by calculating their fees for administering estates on the Cyprus Bar Association's 'Minimum Fee Regulations', which were abolished in 2018

Cyprus house price index up 2.5 per cent

The Cyprus house price index rose by an average of 2.5 per cent in the first quarter of 2020 compared to the previous quarter according to official figures from the Cyprus Statistical Service (CYSTAT)

MPs commit to expedite citizenship bills

MPs have committed to expediting the bills and regulations aimed at improving the transparency of the citizenship-by-investment programme, so that the items can be voted on before the House breaks for the summer recess.