Credit ratings agency Moody's has upgraded Ireland's economic rating to an A3.

It's also maintained its "positive" outlook on Ireland's economy.

The National Treasury Management Agency has welcomed the improvement, saying it affirms Ireland's fiscal and economic recovery.

The rating follows on from a B-double-A-1 rating.

The Minister for Finance Michael Noonan says our economic growth rate is the highest in the EU and that the public finances have been placed on a sustainable footing is a clear factor in the Moody’s decision

Minister Noonan says it proves Ireland is progressing in the correct direction.

He says it also shows that the ratings agency is confident in the plans in the new Programme for Government.

It's the first time since 2010 that Ireland is in the A category.

It's the first time since 2010 that Ireland's economy has been in the A category.