Prodromou: Cyprus is on the Way to Investment Grade

22/08/2018

Cyprus is on its way to regain investment grade status, Government Spokesman Prodromos Prodromou said.

He was speaking to the press after the Cabinet’s meeting which reviewed the first six months of the second term in office of President Nicos Anastasiades` administration. The Council of Ministers was briefed by the Finance Minister on developments in the economy.  

Cyprus’ return to investment grade status “will be a very important development” the Spokesman told reporters.

According to the Cyprus News Agency, he noted that for the first time in recent years, unemployment rate in Cyprus is lower than the EU’s average “and we continue steadily towards full employment, with prudent fiscal management, as well as with robust growth recorded in the economy”.

Burdened by an ailing oversized banking sector and an economic recession, Cyprus saw its ratings decline to junk in 2012, losing access to financial markets, that forced the government to apply to the EU and the IMF for financial assistance in 2012. The government completed its €10 bailout programme in March 2016 and believes that 2018 will see its ratings return to investment-grade level.