Moody's raises Greek rating to 'Caa3'

BY HARRY PAPACHRISTOU

ATHENS Fri Nov 29, 2013 6:54pm EST

(Reuters) - Rating agency Moody's raised Greece's sovereign rating to 'Caa3' from 'C' on Friday, saying it expected the debt-laden nation to meet its 2014 budget targets and that its recession will end next year.

Moody's is the third and last major agency to raise Greece's rating over the past 12 months, after the election victory of a government backing the country's EU/IMF bailout, which rescued Athens from default and averted its possible exit from the euro.

S&P raised Greece's rating in December 2012 to 'B-' from "selective default." Fitch raised it in May 2013 to 'B-' from 'CCC'.