Standard & Poor's ratings agency has upgraded Greece's credit grade by six notches – yanking the debt-heavy country out of default, but still keeping its devalued bonds in junk status, Belfast Telegraph reported.
The agency said the upgrade to B- – the highest grade it has given Greece since June 2011 – reflected its view that the other 16 European Union countries using the euro are determined to keep Greece inside the currency union.
It also gives Greece a stable outlook, meaning it is less likely to change its rating again soon.
"The stable outlook balances our view of eurozone member states' determination to support Greece's eurozone membership and the Greek government's commitment to a fiscal and structural adjustment against the economic and political challenges of doing so," the agency said in a statement.
Greece's finance minister welcomed the upgrade, but pledged to forge on with promised reforms and savings measures. "It's a decision that creates a mood of optimism, but we are well aware that we still face a long uphill course ahead," Yannis Stournaras said. "We are not relaxing in our efforts."
An upgrade was expected since S&P had earlier this month temporarily lowered Greece's rating to the bottom of its scale – selective default – because the country was buying back its own debt.
