Sinn Fein TD Pearse Doherty says Cyprus' bailout deal with EU leaders does not bode well for Ireland's current terms.

A debt rescue package worth €10 billion has been agreed by EU leaders to bailout Cyprus. The Mediterranean country will also have to recapitalize its own banks.

However the deal is significantly lower than the €17 billion that had initially been requested.

The package includes bank deposits in Cyprus being hit with a one-off, unprecedented levy of up to 9.9 per cent on accounts holding more than €100,000 and a hike of 2 per cent to their corporation tax.

Doherty believes Cyprus was forced to raise its corporation tax: