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Upgrade of Ireland to A- by Standard & Poor’s on Improved Domestic Prospects welcomed by the Minister for Finance

Credit Rating upgraded to A- and outlook positive

S&P forecasting average real GDP growth of 2.7% over 2014-2106

Improved prospects for the domestic economy key driver of upgrade

Early redemption of NAMA Senior Debt repayments noted

Ability to attract high inflows of FDI expected to bolster Ireland’s real GDP growth recognised

Welcoming the upgrade of Ireland’s sovereign credit rating by S&P’s to A- with a positive outlook, the Minister for Finance, Mr. Michael Noonan T.D. today (6 June 2014) stated:

“This upgrade to A- rating by S&P’s highlights the continued improvement in Ireland’s credit worthiness. I am particularly pleased that this upgrade is being driven by S&P’s view on the improved prospects for the domestic economy. This is a view I share and with thousands of jobs being created each month, strong exchequer performance and with positive high-frequency indicators, I am confident that we are moving in the right direction.

The actions that this Government has taken to reduce the contingent liability on the Irish state have been recognised by the rating agencies. S&P’s specifically recognise the benefits to Ireland’s credit worthiness from NAMA’s accelerated bond repayment. De-risking Ireland’s is a key priority and it is particularly apt that this rating upgrade is being released just hours after the publication of the details of the IBRC Special liquidation. This transaction has been a great success, removed a significant risk and has attracted new investors to Ireland. The NAMA backstop was a key part of this transaction but there is no doubt that this increase in market interest has also supported NAMA in achieving their objectives.

Overall, this upgrade to A- is a very positive development, will further drive down bond yields and attract further investment in Ireland.”