Standards & Poor’s (S&P) revised on Friday Egypt’s Outlook to Positive and affirmed ratings at ‘B-/B’, citing gradual improvement in the economy.

“A stabilizing political landscape and growth-supporting reforms, as well as continued support from some Gulf states, are helping Egypt's economic recovery. We now project real GDP growth at about 4.3% on average in 2015-2018, outstripping the 2.1% average in 2011-2014,” said S&P.

“Nevertheless, our ratings on Egypt remain constrained by wide fiscal deficits, high domestic debt, low income levels, and institutional shortcomings,” it added.

S&P added that the positive outlook reflects the possibility that it could raise its long-term ratings on Egypt over the next 12 months if the economic recovery outperforms its current expectations, or if narrower-than-expected current account deficits lead to a stronger external position.