merrion street

The credit ratings agency Moody’s has today (Friday) upgraded Ireland’s sovereign rating to A2 from A3 (a one notch improvement on the Moody’s scale).

The key drivers underpinning the Moody’s upgrade are the continued strong growth of the Irish economy, the near-achievement of a balanced budget and the ongoing decline in public indebtedness.
The Irish sovereign is rated as investment grade by all of the major international debt rating agencies.Commenting on the sovereign rating upgrade by Moody’s, the Minister for Finance and Public Expenditure & Reform Paschal Donohoe TD stated:“I welcome the ratings upgrade from Moody's which further improves our sovereign rating.  This development is an acknowledgement of our continuing economic improvement – indeed earlier today the Central Statistics Office published data for the second quarter of this year which show that GDP increased at an annual rate of 5.8 per cent.Economic recovery has not happened by accident.  It is the result of decisive, stability-oriented policies adopted by the Government as well as the hard work of the Irish people.  We are seeing the fruits of this in terms of increased investment and employment gains.

While the market reaction to our management of the public finances continues to be positive, we must guard against complacency.  Our job now is to build upon the gains of recent years and to ensure that all can benefit in the years ahead.  Achieving this will require continued sensible and sustainable management of the public finances.  It is the Government’s intention to achieve a balanced budget next year and to keep the debt ratio on a declining path.  This will help to keep Ireland secure in a risky world”.