IMF rejects comments by former chief of Irish mission

The International Monetary Fund (IMF) has said there is no evidence that Ireland's fiscal consolidation is self defeating.

It follows comments made in an RTÉ radio interview over the weekend by by former IMF chief of mission to Ireland Ashoka Mody, who said Ireland should consider greatly reducing its austerity policies.

In a statement responding to the comments, the IMF said Mr Mody has retired from the fund and no longer represents its position.

It also said Ireland's return to the markets is a clear indicator of the credibility of Ireland's phased approach to fiscal consolidation.