ATHENS: Ratings agency Fitch upgraded its credit rating for Greece by one notch on Tuesday, saying the latest bailout deal the country struck with its foreign lenders reduced the chance of default. Greece and its European and IMF lenders reached an 85 billion euro ($94 billion) bailout agreement last week after nailing down the terms of new loans needed to save the country from financial ruin.
The deal gives Greece some respite after a year marked by acrimonious talks with lenders, the imposition of capital controls and a three-week shutdown of its banks before Athens agreed to demands for more austerity in exchange for aid. In a statement raising Greece’s long-term credit to ‘CCC’ from ‘CC’, Fitch said the Aug. 14 deal “reduced the risk of Greece defaulting on its private sector debt obligations” but added that risks to the programme’s success “
