Ireland Rating Outlook Raised to Positive by S&P on Tax Receipts

(Bloomberg) -- S&P Global Ratings put a positive outlook on Ireland’s credit rating, underscoring just how robust the country’s finances are ahead of next month’s general election.

The ratings firm expects Ireland to use proceeds from corporate tax receipts to rebuild fiscal buffers. S&P currently scores the country eight levels above junk, having lifted the rating one notch to AA in May last year.

“We now estimate the government will run a fiscal surplus equivalent to 7.4% of national income,” the ratings agency said in a statement Friday, citing in part a tax windfall from Apple following a recent EU ruling.