Fitch Ratings upgrades Cyprus credit rating to A

On November 6, 2026, the international credit rating agency Fitch Ratings upgraded the Republic of Cyprus's long-term issuer default rating from 'A-' to 'A', while maintaining a stable outlook. Additionally, the short-term rating was raised from 'F1' to 'F1+'. The agency cited the country's rapid public debt reduction, consistent fiscal surpluses, and strong economic growth as the primary drivers for this upgrade.

Fitch projects a general government surplus of 3.2% of GDP for 2026, with an expected average of 2.9% for the 2027–2028 period. Public debt is forecast to fall from 52.4% of GDP in 2025 to 46.3% in 2026, potentially reaching 36.6% by 2028. The economy is expected to maintain an average annual growth rate of 3% through 2028.

Cypriot Minister of Finance Makis Keravnos welcomed the decision, characterizing the upgrade as a vote of confidence in the government's fiscal policy. He noted that the move reflects the success of prudent economic management, which has enabled sustainable growth while providing continued support to households and businesses during unpredictable times.