Part 7/9:
Several factors contributed to this unexpected renaissance. First, years of austerity and structural reforms have rendered Southern European economies more fiscally cautious. Credit ratings for these nations are improving, as significant agencies express optimism; for instance, Greece's credit rating was elevated to investment grade for the first time since the Eurozone crisis.
Another crucial element has been the EU's €800 billion Covid Recovery Fund, which has primarily benefited Southern European nations, allowing them to alleviate debt burdens and finance new structural reforms. Italy and Spain are projected to see GDP boosts from these funds.