Fitch cuts Greece to junk

Fitch Ratings said it downgraded Greece's long-term foreign and local currency issuer default ratings to BB+ from BBB- and its short-term issuer default rating to B from F2 and removed the ratings from Rating Watch negative.

The outlook is negative.

The downgrade acknowledges that while Greece's economic and fiscal performance under the EU-IMF program has in many respects exceeded expectations, its heavy public debt burden renders fiscal solvency highly vulnerable to adverse shocks, Fitch said.

The negative outlook reflects that public debt sustainability is still very fragile and renewed access to market financing uncertain, the agency said.

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