The rating increase to investment grade follows the re-election of Prime Minister Kyriakos Mitsotakis a few weeks ago. Mitsotakis has previously promised more economic reforms, sound finances and assured that Greece will pay two years of bailout loans to the eurozone early.
The conservative prime minister also promised that Greece would once again become an investor-friendly country and that an improvement in the country’s credit rating was part of this goal.
It was in connection with Greece’s debt crisis in 2010 that the country became the first member of the Eurozone to have its credit rating lowered to junk status.
However, Scope’s upgrade is currently not recognized by the European Central Bank, Di learns, meaning the ECB will not accept Greek bonds as collateral.
However, that situation may change when the bank reviews Scope’s eligibility. Analysts now expect other rating agencies, such as S&P and Moody’s, to follow Scope’s example and raise Greece’s credit rating.