12 Jul 2013
S&P changes outlook on Ireland to positive
FXstreet.com (Barcelona) - Standard & Poor's Ratings Services decided to revise the outlook on Ireland's long-term rating to positive from negative on Friday, keeping the country's sovereign credit rating unchanged at BBB+.
According to the report: “There is a more than one-in-three probability that Ireland could over-achieve its fiscal targets and reduce its government debt faster than we currently expect.” S&P believes this could happen over the course of the next two years and would result in a rating upgrade for the country.
The rating agency signalizes however that: “On the other hand, if the Irish economy remains sluggish, asset prices depressed, and debt reduction slow--or if banks are unable to reach NPL reduction targets--the ratings are likely to stabilize at the current level.”
According to the report: “There is a more than one-in-three probability that Ireland could over-achieve its fiscal targets and reduce its government debt faster than we currently expect.” S&P believes this could happen over the course of the next two years and would result in a rating upgrade for the country.
The rating agency signalizes however that: “On the other hand, if the Irish economy remains sluggish, asset prices depressed, and debt reduction slow--or if banks are unable to reach NPL reduction targets--the ratings are likely to stabilize at the current level.”