Improvement: Fitch upgrades Ireland to ‘positive’

WASHINGTON: Rating firm Fitch raised its outlook on Ireland to ‘positive’ from ‘stable’, citing the eurozone country’s strengthening economy after exiting an international bailout in 2013. Fitch highlighted that tax revenues increased by 11.7% in the first half of 2015 compared with the same period a year ago, notably on strong corporate tax receipts. Revenues from VAT and personal income tax grew 8.0% and 6.0%, respectively. Ireland also benefited from a low interest rate environment which has allowed it to make ahead of schedule an €18 billion ($19.7 billion) repayment of its International Monetary Fund loan, resulting in interest savings, the rating firm said. “The economic recovery has broadened since our last rating review in February,” Fitch said. Household consumption has “strengthened significantly” and consumer confidence, employment growth and other data support the view of the rebound.

Published in The Express Tribune, August 9^th, 2015.

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