Moody’s downgrade ‘excessive’ — Cowen

IRELAND’S credit rating has been cut five notches by Moody’s on the basis that the austerity measures could dampen economic growth and domestic demand.

While analysts at the credit rating agency said that it was very unlikely that Ireland would default on its debt, they gave the country a negative outlook for the future.

Taoiseach Brian Cowen described the downgrading from Aa2 to Baa1 as “a bit excessive”, commenting from an EU summit in Brussels.