Spain’s credit rating has been upgraded by ratings agency Moody’s.
Although the rate went up one notch to Baa2 from Baa3, it is clear a step in the right direction for the ailing economy.
Moody’s view is that Spain has made quicker progress in rebalancing its economy than had been predicted and that its reforms have helped gain stability for the economy.
Spain has managed to move away from real estate investment which caused no end of grief when the market collapsed in 2008 and into greater exports.
Moody's also pointed out the authorities' progress in implementing broad structural reforms, especially in the labour market and the public pension system, as well as other measures such as the restructuring of the Spanish banking system.
"These efforts support Moody's expectation of stronger, more sustainable economic growth over the medium term and continued improvements in the resilience of government finances."