Insider Business Government: Moody’s upgrade important for Cyprus economy and its prospect

Government: Moody’s upgrade important for Cyprus economy and its prospect

Government Spokesman Prodromos Prodromou said on Saturday that upgrades of the economy by international rating agencies are always important for the Cypriot economy and its prospects.

He was commenting on Moody’s upgrade of Cyprus rating to Ba2 from Ba3 on Friday.

The positive ratings, as he said “encourage investment activity in our country and the financing terms are improved in case external borrowing is needed.”

He further noted that Moody’s upgrade of Cyprus’ long-term issuer rating to Ba2 from Ba3, reflects the ongoing recovery of Cyprus’  banking system and the positive fundamental trend with respect to the government`s balance sheet.

He added that Moody’s expects that despite the one-off costs of the Cyprus Co-operative Bank transaction, the general government debt to GDP ratio would fall below 90% by the end of 2021, while confirming the prediction that Cyprus economy will continue to grow in the years to come.

Prodromou also mentioned that Moody’s notes that “Cyprus has taken an important step forward in the recovery of its banking sector in recent months” and points out the fall by about 1/3 of the bad loans.

“At the same time, however, we also note that the next assessments and the expected further upgrading will depend both on continued prudent fiscal management and on political actions,” Prodromou noted.

Finally he said that future positive ratings would come with the further reduction of non-performing loans in the system and the Government`s planned reduction of public debt.

Read more

Top Stories

126 new cases, two deaths announced on Monday

The Health Ministry announced the death of two persons due to COVID-19. This raises the death toll from the virus in Cyprus to 188,...

Where to get antigen rapid tests on Tuesday, 26 January

The Health Ministry announced the following antigen rapid test sites for Tuesday, 26 January 2021:   LIMASSOL Church of Panagia Chrysaifyliotissa, Agia Fyla 08:30-16:30 Church of Panagia Evangelistria,...

Cyprus government aims at gradual lifting of restrictive measures

The Cyprus government aims at the gradual lifting of restrictive measures against the spread of COVID-19 in the context of a concrete plan, with...

Shot flamingo found in Paralimni lake

Birdlife Cyprus announced that a flamingo was found wounded in the Lake of Paralimni. Members managed to save the bird and take it to a...

Epidemiologists agree to include colchicine in treatment protocol

The scientific team of the Health Ministry is ready to include colchicine in the treatment protocol to face COVID-19, Konstantinos Tsioutis, assistant professor of...


Squash soup

Ingredients: 1 kg pumpkin, cut into small cubes, approximately 5 cups 2 medium (400g) sweet potatoes, cut into cubes, approximately 2 ½ cups 1 chopped leek, only...


No visit to Cyprus is complete without enjoying the traditional meal of many small dishes known as ‘meze’. This large feast, which has been a...

Prawns with fried cheese, barley shaped pasta

Put the barley shaped pasta into a small pan with salted water, bring to a boil and when tender, drain. Peal the prawns leaving...

Salmon and shrimp sheftalies

Mix all ingredients for tabbouli in a bowl and keep to one side so flavours can combine. Prepare the sheftalies: wash and soak the casing...