Ireland's debt rating just above 'junk' status

Ireland's debt rating was downgraded to just above junk status today amid warnings that austerity plans may not be enough to repair its battered economy.

Moody's slashed the rating by two notches, to Baa3 - just one move away from a junk rating and the same level as embattled Iceland and Tunisia.

The news came just hours before an announcement by the Irish Government of a revised agreement with international lenders on the terms of its 67.5 billion euro (£59.7 billion) bail-out.

The European Commission, European Central Bank and International Monetary Fund are due to lower interest terms on Ireland's loan in return for tough austerity measures.

Source: MailOnline