Bulgaria's financial outlook has been upgraded to positive by Fitch Ratings, up from stable.

Fitch also listed the country's long-term foreign and local currency Issuer Default Ratings (IDRs) at BBB-, with the country ceiling at BBB+ and the short-term foreign and local currency IDRs at F3, according to a Bulgarian Ministry of Finance press release.

The new positive ranking shows that Bulgaria's external metrics have improved, the release states. Bulgaria's public finances rank favorably compared to similar nations. 

Fitch also forecasts a fiscal deficit of 0.6 percent of GDP this year, which is below the projected BBB median. Fitch also forecasts the economy to grow 3 percent over the next year, in line with median growth predictions.