The Fitch Ratings agency has raised Serbia's rating from "B+" to "BB-" with the outlooks having been revised to stable, the Serbian central bank stated on Saturday.
"As assessed by Fitch, the upgrade reflects better macroeconomic performances, political stability, banking sector stability and the government’s full commitment to reforms envisaged by the three-year precautionary stand-by arrangement with the IMF," the National Bank of Serbia stated in a press release following the decision by Fitch Ratings to upgrade the country's long-term foreign and local currency issuer default ratings.
"The upgrade was due primarily to successful fiscal consolidation that will help reduce the fiscal deficit to 3% in 2016 and put the public debt to GDP ratio on a downward path from 2017."
"Serbia’s external imbalances are continuing to narrow owing to vigorous export growth, while high FDI inflows comfortably cover the current account deficit. The high FDI inflows result from implemented structural reforms and improvements in the overall business environment."