The IMF said on Monday that Ireland must do more to cut down on the amount of borrowing and that the Irish Government must revisit plans for the next budget.

The IMF described the plans as “too modest”.  

The IMF says that although the economy's improving, with taxes higher than expected, the Government can't afford to use its higher revenues for a giveaway budget.

However the report is broadly positive of the economy - and says an unexpected development in Greece would be the biggest threat to the recovery.

It's calling on the Government to do whatever it can to increase the rate of mortgage resolutions, and also to consider speeding up the sale of its bank shares to help pay down the national debt.