Cyprus’ credit rating was recently upgraded from Baa2 to A3 by Moody’s. The double upgrade reflects, firstly, the improvement in the country’s fiscal indicators. Public debt has fallen sharply, from 114 per cent of GDP in 2020 to 73 per cent in 2023, with a further reduction to 50 per cent expected by 2027.
Secondly, the economy’s positive medium-term prospects, centred on highly productive services, such as software development and