Moody’s cut Irish credit rating

Ireland’s credit rating has been slashed as the country’s government struggles to contain losses in the country’s debt-riddled banking system.
 
Moody’s investor service cut the Irish rating by five levels warning further downgrades were possible. The move follows other agencies, which have also stripped Ireland of its ‘A’ credit status.  
 
Dublin’s debt levels have quadrupled since its banking sector went into freefall following the global economic crisis.
 
This week the Irish parliament approved a massive 85 billion-euro EU-IMF bailout aimed at shoring up the country’s cash flow. 
 
A key condition of the rescue package was the promise of substantial spending cuts and tax hikes, something which sparked large scale protests.

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