Ratings agency Moody’s has cut the Republic of Ireland’s debt rating to junk status.
Moody’s said its decision was based on the “growing possibility” that Ireland would need a second bail-out before it can return to capital markets.
The current European Union and International Monetary Fund support programme is due to end in late 2013.
It comes at a time when markets fear the debt crisis in the eurozone could spread to Italy and Spain.
