DUBLIN: Fitch raised its outlook for Ireland’s sovereign debt rating yesterday, citing the government’s success in cutting the budget without slowing economic growth and its return to borrowing from international bond markets.
The rating agency left Ireland’s rating at BBB+, three notches above junk status, but upgraded its outlook to stable from negative. Moody’s is the only one of the three main rating agencies to have downgraded the country to non-investment grade.
“The affirmation and revision of the outlooks to Stable from Negative reflects Ireland’s continued progress with its fiscal consolidation, external adjustment and economic recovery, as well as the sovereign’s improved financing options,” the agency said in a statement.
“Fitch judges that the risks surrounding the adjustment path have narrowed and become more balanced.” Fitch said it expected the government to meet its fiscal targets for the year and welcomed a strong improvement in competitiveness.
Reuters
