MSCI to upgrade Greece to developed market in May 2027

Greek ⁠stocks will return to MSCI’s developed ⁠markets index in May 2027, ⁠according to Morgan Stanley’s announcement.

“Greece’s path from Emerging Market back to Developed Market status reflects both the progress achieved by the Greek market authorities and the evolving view among global institutional investors that Developed Markets Europe operates as a cohesive investment region,” said Raman Aylur Subramanian, Head of Market Classification and Taxonomies.

“Market participants recognized that Greece’s market infrastructure has converged with Developed European standards and meets the criteria for Developed Markets. This reclassification decision follows sustained market reforms and dialogue between market authorities, the investment community and MSCI.”

While supporting the reclassification, some market participants noted considerations around the implementation timeline. This feedback informed MSCI’s decision to implement the reclassification at the May 2027 Index Review rather than the August 2026 Index Review.

As part of the implementation plan:

– The reclassification will be implemented in one step across all MSCI Indexes, including standard, custom and derived indexes, at the May 2027 Index review.
– Once reclassified to Developed Markets, Greece will be added to the Developed Europe single market index construction process for determining the MSCI Greece Indexes.
– Existing constituent rules will be applied to minimize turnover at the time of the reclassification.
– Snapshots of the simulated MSCI Europe Indexes, incorporating Greece as a Developed Market, will be provided as part of each Index Review prior to the effective reclassification date in May 2027. This will support market participants planning for the transition.

Camille Beudin, Chairman of the Athens Exchange Group, stated:

“This recognition marks a significant milestone for the Greek capital market and reflects the substantial progress achieved in recent years. As the Athens Stock Exchange progresses with its integration into the Euronext Group, this development creates new opportunities to deepen market participation, support Greek companies in accessing growth capital, and further integrate the Greek market within the European financial ecosystem. We remain committed to building on this momentum, continuing to strengthen market quality, transparency, and competitiveness in the years to come.”

Yianos Kontopoulos, CEO of the Athens Exchange Group, commented:

“Following today’s decision by MSCI, the Athens Stock Exchange takes another important step toward its final reclassification as a Developed Market. This milestone reflects a strong and growing vote of confidence in the growth trajectory and institutional maturity of the Greek capital market. With a steadfast commitment to enhancing trust and expanding the international appeal of our market, we will continue to build on this momentum to further strengthen our attractiveness to global investors.”