S&P Raises Italy’s Sovereign Credit Rating to BBB/A-2

November 6, 2017 - Ratings agency Standard & Poor’s unexpectedly raised its sovereign credit rating for Italy to BBB/A-2 on last Friday, citing an improved economic growth outlook, rising investment and a steady uptick in employment. S&P’s credit rating for Italy previously stood at BBB-/A-3. It kept its outlook on the rating stable.

The increase will be a boost for the government, and comes as Italy’s political parties start gearing up for national elections that are widely expected in March 2018. S&P has been regularly downgrading the euro zone’s third largest economy since 1988, when the credit rating stood at AA+. The BBB-/A-3 rating had been in place since Dec.5, 2014.