Posted by
alfredlester on Wednesday, February 02, 2011 7:42:50 AM
LONDON - Standard & Poor&&9;s rating is cut icts Ireland on Wednesday Amid Ongoing Fears About the country&&9;s banks despite a one billion bailout euro67.5 of the Country in November. The ratings agency downgrade Another Warned That May Be In The offing.
The agency Said That It Was cutting Ireland&&9;s rating by one notch to A from A minus and Warned That Another downgrade "could come as soon as April. Then by S & P Said It Will Be In A Better Position to Assess The Impact of the recent capital injections Into the Banking Sector.
Frank Gill, year S & P analyst, he Said The Government&&9;s rating Expected to Remain In The investment grade category after icts current assessment of the Country&&9;s Economic Prospects.
S & P Estimates thats the indebtedness of Ireland&&9;s domestic banking groups, EXCLUDING The International Financial Services Sector, at over 170 percent of the Country&&9;s Gross Domestic Product.As a result, S & P Said Ireland&&9;s banks are dependent Currently "almost entirely" On The European Central Bank to refinance Their current market debts online pay day loans.
Much hinges On The Irish Economy and What Happens With chômage, Gill said.
"Were the Labor market to deteriorate Furth, In The Rise In The level of delinquencies domestic banks&&9; mortgage portfolios" could result in higher new capital requirements Than weekends Presently assumes, "Gill said.
However, He Said Ireland&&9;s Rating May Be Supported If The U.S. Comes Up With a more comprehensive solution to The Debt Crisis That has seen Both Greece and Ireland turn to Their eurozone partners & the International Monetary Fund for bailout loans.
"The emergence of a European sovereign debt restructuration Framework That Could Reduce the Perceived Political opponents and Financial Cost Of A Sovereign Debt Restructuring" could lead us to Reconsider aussi o view of Ireland&&9;s creditworthiness, "Said Gill.
S & P downgrades debt rating Ireland&&9;s