S&P puts positive outlook on Ireland’s credit rating

S&P Global Ratings assigned on Saturday a positive outlook to Ireland’s credit rating, emphasising the country’s strong fiscal position ahead of the November 29 general election.

S&P, which upgraded Ireland to AA last year, had cited a fiscal surplus of 7.4 per cent of national income, driven partly by a tax windfall from Apple following an EU ruling.

Ireland’s budget surplus, among the strongest in Europe, has enabled the government to establish a sovereign wealth fund and deliver a voter-focused budget in October.

Multinationals like Apple and Pfizer have bolstered corporate tax revenues, providing financial flexibility that contrasts sharply with the country’s EU bailout 14 years ago.

Other rating agencies have also recognised Ireland’s robust finances, with Moody’s assigning a positive outlook in August and Fitch upgrading to AA earlier this year.

Fitch’s latest report, released Friday, highlighted Ireland’s strong credit fundamentals and resilient domestic economy, maintaining a stable outlook.

Attribution: Bloomberg

Subediting: Y.Yasser