Ratings agency Standard and Poor's downgrade of Spain's credit rating Thursday for the second time this year highlights the fact that austerity alone is not enough to tackle the eurozone debt problem.
Rating agency S&P's decision to downgrade the ratings of nine eurozone countries could dampen the mood in the Indian equity market when trading resumes Monday.
Alastair Newton of Nomura International believes that there is a likly hood for a lot of the current AAA nations getting downgraded.
Ireland will resume borrowing as soon as investors feel more comfortable about its fiscal goals and prospects for other peripheral eurozone countries, the debt management agency said on Friday.