Fitch lifts Greece's rating on strong fiscal position

(Reuters) -Global ratings agency Fitch upgraded Greece's long-term foreign-curency issuer default rating by a notch to "BBB" on Friday, reflecting the country's strong budget performance and debt reduction.

"Recent fiscal outturns and 2026 budget plans underscore the government's strong commitment to fiscal prudence," the agency said in a statement.

The Balkan nation expects its economy to grow faster in 2026, outperforming major European economies benefiting from higher investment and robust consumer spending.

Greece has emerged from a draining 2009-2018 financial crisis and has exceeded its fiscal targets, partly thanks to robust receipts from tackling tax evasion and expanding electronic payments.

The agency also revised Greece's outlook to "stable" from "positive", with the country's economic strengths set against the legacy of the sovereign debt crisis, particularly the very high but steadily declining public debt burden, the significant loss of economic output, persistent external imbalances and contingent liabilities from the banking sector.

"The Greek economy is on a steady growth path, despite various recent external challenges, including geopolitical and trade shocks," Fitch added.

(Reporting by Sri Hari N S in Bengaluru; Editing by Alan Barona)