In July 2011, Fitch upgraded Romania’s long-term foreign currency rating to ‘BBB-‘ from ‘BB+’ and assigned a stable outlook.
Fitch said the upgrade reflected Romania’s progress in recovering from the effects of the financial crisis, evident in a return to economic growth, a strong export performance, narrowing in the current account deficit and reduction in its budget deficit.
“Overall, there has been a material easing in Romania’s downside risks, commensurate with a return to an investment grade rating. Nevertheless, Romania is exposed to spill-over risks from the eurozone,” Fitch noted.
“The eurozone is not only Romania’s major trading partner, but eurozone parent banks also dominate the Romanian financial sector.”