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Sat 01 Jan 2009Moody's says it may downgrade State's debt rating

RATINGS AGENCY Moody’s has threatened to downgrade the State’s debt rating if the Government’s finances deteriorate further. The news came as Eurostat said that annual inflation in the euro zone had fallen to 1.1 per cent, strengthening the case for further rate cuts.

The Republic of Ireland has become the first western European country, in the current downturn, to have its rating placed on a negative outlook by Moody’s.

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