The chief executive of employers' body IBEC says Ireland's poor international reputation is adding €400m a year to the cost of servicing the national debt.
Danny McCoy was speaking in Brussels, where IBEC was meeting officials to inform them of what Ireland is doing to tackle the recession.
IBEC is meeting commission president Jose Manuel Barroso and the permanent representatives of the national governments, as well as the new president of the European Parliament, Jerzy Buzek from Poland.
IBEC says negative media comment abroad is translating into higher interest rates on Irish Government bonds. In other words, our bad image is making it even more expensive to borrow the money the Government needs.
IBEC says the Irish situation is tough but manageable, and that NAMA, more action on the public finances in the Budget, and a Yes vote in the Lisbon referendum would all help to improve the country's image.
