Ireland credit rating upgraded to Aa2 by Moody's

Moody's Ratings has upgraded Ireland's long-term issuer and senior unsecured debt ratings from Aa3 to Aa2, maintaining a positive outlook. The agency cited continuous improvements in Ireland's economic and fiscal strength as the primary driver for the upgrade.

Key factors contributing to the decision include higher-than-expected economic and fiscal benefits from foreign direct investment and strong underlying growth supported by public investment through the National Development Plan.

Ireland has significantly exceeded expectations regarding debt reduction. The general government debt-to-GDP ratio fell to 63% last year from over 100% in 2021, and Moody's projects this ratio will decrease further to 54% by 2027.