The credit rating agency Fitch has confirmed Greece’s credit rating at BB+ with a stable outlook.

It said in its statement that the rating is supported by structural indicators such as governance performance, human resource development indicators and per capita income, which is among the highest among non-investment grade countries.

These strengths are weighed against the burden of the sovereign debt crisis, which includes large volumes of public and external debt as well as a low medium-term growth outlook and weaknesses in the banking sector.

Fitch revised up its forecast for GDP growth to 2.3% in 2029 from 0.9%, thanks to a positive carry-over effect (1.5 percentage points given the much stronger than expected performance in the fourth quarter of 2022) and reduced energy risks.

“We still expect household consumption to slow significantly this year, reflecting the impact of inflation and reduced credit demand. Conversely, investment growth will remain strong thanks to the absorption of resources under the Growth and Resilience Fund, while sectors such as tourism will continue to support exports,” the house notes.

He also notes that he expects the Greek economy to grow at a rate of 2% to 2.5% in the period 2024-2026.