Irish Debt Upgraded to Investment Grade

The credit rating agency Moody’s has upgraded Ireland’s debt from junk status to investment grade, saying its economy has growth potential.

The news is the latest in a run of positive reports for Ireland and comes as investors start to welcome the chance to invest in the country through its government-issued bonds.

Moody’s was the only one of three key agencies to class the debt as “junk”.

An investment grade mark means more investors can buy Irish debt.

Moody’s has lifted its rating, which appear as a sometimes complex series of numbers from Ba1 to Baa3.

It says the recovering economy and its improved growth potential along with its return to the international bond market merit the higher score.

Ireland was effectively locked out of international credit markets after its banking collapse left only the European Union and the International Monetary Fund willing to support its needs.

via BBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza