e-magazine
The Hot Zone
China's newly announced air defense identification zone over the East China Sea aims to shore up national security
Current Issue
· Table of Contents
· Editor's Desk
· Previous Issues
· Subscribe to Mag
Subscribe Now >>
Weekly Watch
Expert's View
World
Nation
Business
Finance
Market Watch
Legal-Ease
North American Report
Forum
Government Documents
Expat's Eye
Health
Science/Technology
Lifestyle
Books
Movies
Backgrounders
Special
Photo Gallery
Blogs
Reader's Service
Learning with
'Beijing Review'
E-mail us
RSS Feeds
PDF Edition
Web-magazine
Reader's Letters
Make Beijing Review your homepage
Hot Links

cheap eyeglasses
Market Avenue
eBeijing

Latest News
Special> Debt Crisis in Europe> Latest News
UPDATED: April 12, 2013
S&P Revises Cyprus Rating to Stable from Negative
Share

Standard and Poor's Ratings Services (S&P) has revised the rating outlook of Cyprus to stable from negative on account of an expected endorsement of a bailout for the eastern Mediterranean island by the Eurogroup in Dublin on April 5 and the receding of a sovereign default.

"The outlook revision reflects our expectation that the Cypriot government will agree to the terms of an up-to 10 billion euros ESM-IMF financial assistance program and that the program's first loan tranche will be disbursed in time for the government to make a June 4 payment due on a Eurobond," Standard & Poor's said in a statement on Wednesday which was available here on Thursday.

The revision was a pleasant reversal in a series of negative ratings which have pushed Cyprus out of international markets and forced it to seek bailout support from the Eurogroup and the International Monetary Fund in June, 2012.

However, the S&P maintained its long and short-term sovereign credit ratings for Cyprus at CCC/C, citing considerable economic risks and problems on the way to implementing an adjustment program for the economy.

"We could consider raising the ratings if the economy were to stabilize sooner and at higher levels than we currently project," the statement added.

The S&P said it expects that Cyprus will remain a member of the Eurozone and also recently-imposed capital controls to remain, in some form, to protect Cyprus' banks from renewed deposit flight.

The ratings agency said it expects Cyprus' current account deficit to widen to more than 10 percent of gross domestic product and the economy to contract by an estimated 20 percent between 2013 and 2016 on account of the downsizing of the banking system, the flight of deposits and weak growth.

(Xinhua News Agency April 11, 2013)



 
Top Story
-Protecting Ocean Rights
-Partners in Defense
-Fighting HIV+'s Stigma
-HIV: Privacy VS. Protection
-Setting the Tone
Most Popular
 
About BEIJINGREVIEW | About beijingreview.com | Rss Feeds | Contact us | Advertising | Subscribe & Service | Make Beijing Review your homepage
Copyright Beijing Review All right reserved