S&P revises Cyprus outlook to Stable from negative

FXstreet.com (San Francisco) - Standard and Poor's, the rating agency, has decided to revise higher its outlook on the Cyprus economy from negative to stable according to a recent press release. S&P sees that the immediate risk of sovereign default has receded.

The agency also commented that they could considers raising Cypriot rating if economy stabilizes sooner and performance at higher levels than projected. However, S&P projects Cypriot economy will contract by 20% between 2013 and 2016.

The rating on sovereign debt has been affirmed at 'CCC/C'.