Ratings agency Fitch confident Ireland's deficit can be unwound

Fitch said the coalition's Programme means fiscal consolidation will be gradual and contingent on the recovery. Picture: Julian Behal

Confidence that the impact of the pandemic on Ireland's public finances will be gradually unwound as the health crisis subsides means the outlook for the country remains stable, according to analysts from Fitch.

The ratings agency has maintained its A+ rating for the country, stating that the finances are underpinned by strong institutions and income per capita that is among the highest in the 'A' category, even after adjusting for the large impact of multinational enterprises (MNE) on national accounts data.