The credit rating agency DBRS confirmed Greece’s sovereign credit rating at BBB with a stable outlook on Friday, March 6, 2026. The stable outlook reflects DBRS’s view that risks to Greece’s credit profile are broadly balanced.
Economic and fiscal developments remained favorable last year, the agency noted. The Bank of Greece estimates real GDP grew by 2.1% in 2025, driven by strong investment activity, rising private consumption, and increased tourist arrivals.
“Fiscal developments benefited not only from cyclical tailwinds but also from structural reforms that improved tax compliance and, as a result, strengthened government revenues,” DBRS stated.
Between the fourth quarter of 2024 and the third quarter of 2025, the general government budget recorded a surplus equal to 2.6% of GDP.
Robust fiscal performance and high economic growth rates contributed to a further decline in Greece’s still-high public debt ratio. Gross public debt fell to 149.7% of GDP in September 2025, down from 158.6% in September 2024.
The 2026 budget forecasts a further reduction in the debt-to-GDP ratio to 138.2% by year-end, based on expectations of continued strong nominal GDP growth, a significant primary surplus, and additional early debt repayments.
“Although favorable economic and fiscal conditions are likely to persist in 2026, the country’s economic outlook remains exposed to significant downside risks — including escalating geopolitical tensions. It remains unclear whether intensifying hostilities in the Middle East will lead to a sustained rise in global energy prices,” DBRS added.
Over the medium term, sustaining a clear downward trajectory in the debt ratio depends on Greece’s ability to maintain repeated primary surpluses and preserve its recent economic growth momentum — particularly as EU Recovery and Resilience Facility (RRF) grants are gradually phased out.
Greece’s BBB-rated sovereign credit profile is supported by improvements in the domestic banking sector’s financial health, the country’s credible policy framework, and its membership in both the European Union (EU) and the eurozone, the agency noted.
“Successive Greek governments have implemented key reforms that strengthened governance, improved the business environment, and enhanced debt sustainability. However, Greece’s credit ratings remain constrained by its still-high public debt ratio, comparatively low labor productivity, and small economy size — factors that leave it vulnerable to external shocks.”