Arab Today, arab today fitch affirms cypruss long term ratings at b with positive outlook
Last Updated : GMT 04:40:50
Arab Today, arab today
Arab Today, arab today

Fitch affirms Cyprus's long term ratings at B- with positive outlook

Arab Today, arab today

Arab Today, arab today Fitch affirms Cyprus's long term ratings at B- with positive outlook

Fitch Ratings agency
Nicosia - XINHUA

Fitch Ratings agency has estimated that Cyprus will not need the full 10-billion-euro (10.8-billion-U.S.-dollar) financial aid granted by its international lenders in March 2013, according to a Fitch statement reaching here on Sunday.

The agency issued positive ratings for the eastern Mediterranean island, affirming its long-term foreign and local currency Issuer Default Ratings (IDRs) at 'B- ' with a positive outlook.

Fitch explained its ratings by saying that recent fiscal over-performance has improved the public debt dynamics, though the sovereign debt stands at around 107.1 percent of the GDP, more than double the 'B' category median of 47 percent.

Besides, it said the strong budget performance implies that the buffers in the program have grown close to 3 billion euros (3.24 billion U.S. dollars) or 17 percent of the GDP and that the underlying trend for public finances has been positive.

The fiscal deficit in 2014 was 0.2 percent of the GDP compared with Fitch's forecast of 3.3 percent in October.

"The over-performance reflects a combination of higher tax revenues and lower-than-expected expenditure across most items. The strong budget execution should help keep future deficits lower," the Fitch statement said.

But Fitch also warned of dangers ahead as the government does not hold a majority in parliament, which has led to a long delay in passing of insolvency and foreclosure laws and underlined possible difficulties in passing required legislation.

"Economic conditions in Cyprus remain challenging, with output forecast to decline by 0.8 percent in 2015, the fourth consecutive year of contraction. The GDP fall of 2.3 percent in 2014 is better than the 3 percent expected by Fitch in October. Private consumption has been more resilient than expected," the statement said.

It further cited the weak position of the banking system as non-performing loans reached an exceptionally high 50 percent of gross loans at the 2014 year end from around 46 percent at the end of April 2014.

Fitch also examined the possibility of Greece exiting the eurozone.

While recognizing 'Grexit' as a material risk, Fitch believes Greece will remain a member of the eurozone.

Although a Greek exit would represent a significant shock to the eurozone that could spark a bout of financial market volatility and dent confidence, Fitch does not believe it would precipitate such a systemic crisis as in 2012.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today fitch affirms cypruss long term ratings at b with positive outlook Arab Today, arab today fitch affirms cypruss long term ratings at b with positive outlook

 



Arab Today, arab today
Arab Today, arab today US, Britain ban laptops on flights

GMT 07:36 2017 Wednesday ,22 March

US, Britain ban laptops on flights
Arab Today, arab today Sheds light on major steps in 12-year career

GMT 06:07 2017 Monday ,27 February

Sheds light on major steps in 12-year career
Arab Today, arab today Hezbollah commander killed by own men

GMT 07:43 2017 Wednesday ,22 March

Hezbollah commander killed by own men
Arab Today, arab today Tunisian media host praises her new experience

GMT 12:35 2017 Wednesday ,15 March

Tunisian media host praises her new experience
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Yemeni official warns education is under threat

GMT 12:03 2017 Tuesday ,14 March

Yemeni official warns education is under threat
Arab Today, arab today 2017 already marked

GMT 15:25 2017 Tuesday ,21 March

2017 already marked
Arab Today, arab today Prepares to give stargazers an eyeful

GMT 13:38 2017 Monday ,06 March

Prepares to give stargazers an eyeful
Arab Today, arab today Renault Trezor wins design award

GMT 11:56 2017 Tuesday ,21 March

Renault Trezor wins design award
Arab Today, arab today Palestinian police wage war

GMT 07:53 2017 Friday ,17 March

Palestinian police wage war
Arab Today, arab today Dalia Mustafa believes in the presence of ghosts

GMT 07:39 2017 Monday ,20 March

Dalia Mustafa believes in the presence of ghosts
Arab Today, arab today Mexico threatens to ditch US corn imports

GMT 10:34 2017 Tuesday ,21 March

Mexico threatens to ditch US corn imports

GMT 19:27 2017 Saturday ,11 March

Boualsof launches "Priestess Kahina" collection

GMT 16:41 2017 Monday ,20 March

Preserving the memory of glaciers

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"

GMT 14:17 2017 Monday ,20 March

Cholesterol-slashing drug not impair brain

GMT 17:08 2017 Saturday ,18 March

Reveals secrets of tourism flights to space

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons

GMT 15:42 2017 Saturday ,18 March

HTC U Play now available in KSA

GMT 22:39 2017 Thursday ,09 March

Zuhair Murad presents his new collection "Resorts"
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday