Tag Archives: bailout

The government has said it is working on a strategy with the European Union to exit Ireland’s rescue programme at the end of next year without a second bailout.

Mr Noonan said he was very confident Ireland would exit the programme by the end of next year “in all circumstances”, irrespective of getting relief on the historic cost of bank recapitalisation.

Mr Howlin pointed out that Ireland had drawn down 80 per cent of the €67 billion loan from the troika and had fulfilled 160 conditions.

“We are the most successful programme country. We have hit all the targets,” he said.

Separately, a highranking member of Germany’s central bank warned against using Europe’s nascent banking union to deal with “past sins”. Andreas Dombret, a Bundesbank executive director, argued in an interview with The Irish Times against the ESM fund taking on legacy banking assets. He insisted he was not trampling over Irish hopes for debt relief but said people should be “particularly realistic” about what was doable or not.

Oh.

Government confident of bailout exit next year (Harry McGee, Arthur Beesley, Irish Times)

(Sasko Lazarov/Photocall Ireland)

The possibility of German, Finnish or Dutch MPs disputing a new debt deal for Ireland is emerging as a prime concern among European negotiators as preparations advance for a review of the Irish bank bailout.

Although EU leaders have given the go-ahead for a fundamental revision of the rescue scheme in the autumn, parliamentary approval will be needed in many countries for an extension of European aid to Ireland.

EU economics commissioner Olli Rehn said after a meeting last week of euro zone finance ministers that the EU-IMF “troika” will table a formal proposal in September in anticipation of a final deal in October.

Damn. And just when we’d pre-ordered our new Batman collectibles, too.

Concern grows over possible opposition to debt deal (Arthur Beesley, Irish Times)

(Mark Stedman/Photocall Ireland)

Euro zone finance ministers resolved at the weekend to respond favourably to Spain’s request for up to €100 billion in emergency aid to rescue its crippled financial sector.

Minister for Finance Michael Noonan said it would provide “much-needed confidence and stability in the euro zone” and was particularly important for Ireland’s economy.

In the same way that our crushing defeat by Croatia is ‘particularly important’ for Ireland’s Euro 2012 hopes.

Spanish bailout conditions setback for Irish hopes (Irish Times)

(Photocall Ireland)

They call him ‘El Seanio’

 

After weeks insisting that one of the country’s biggest banks, Bankia, did not need fresh funds, ministers dropped the bombshell last Friday that there was a 23-billion-euro hole in the accounts. They have yet to explain clearly how they will find the money when they are already struggling to finance a spiraling national debt.

 

Spain Cries For Help: is Berlin Listening? (Reuters)

Feb. 9 (Bloomberg) — Ireland will seek to take advantage of any “arrangement” that Greece agrees with the European Central Bank on the country’s debt, as the government seeks help refinancing the bailout of the former Anglo Irish Bank Corp., Finance Minister Michael Noonan said.

“There’s a suggestion that there might be some arrangement made with the ECB,” Noonan said in an interview yesterday with Dublin-based broadcaster Today FM when questioned about Greece. “If that happens we’ll be watching it very closely and we’ll try to avail of that.”

Oh?

Irish Will Try to Make Use of Any ECB-Greek Accord, Noonan Says (Bloomberg, 9th Feb)

On Today FM two days ago, the Minister referred to the possibility of an ECB “arrangement” for Greece and said “we’ll try to avail of that as well” if such a scheme went ahead.

Asked about such remarks, Mr Noonan said people had taken liberty to quote him as saying he might seek similar arrangements for Ireland as might be made for Greece but he insisted that was not what he said or meant. “What I did say yesterday was that we were negotiating an alternative to the promissory note and we will be watching very carefully the elements of the Greek programme to see if there was flexibility in the ECB.

“But under no circumstances was I saying that we’d be looking for something that Greece may get. I was simply saying that it might give us an opportunity to advance the separate negotiations that are ongoing on the promissory note.”

Ah.

Greek deal not related to Irish case, says Noonan (Irish Times, 10th Feb)

TAOISEACH ENDA Kenny has rejected charges that Ireland will need a second European Union/International Monetary Fund bailout because of fears that falling growth rates will threaten Ireland’s recovery.

During a day in London, Mr Kenny relentlessly drove home a positive message about Ireland’s future, but specifically moved to dismiss Citigroup’s chief economist Willem Buiter’s warning that Ireland should have a bailout “on stand-by”.

“We are in a programme, the programme lasts for the next two years. We are meeting all of the targets and all of our commitments,” Mr Kenny said, adding immediately afterwards, “I do not share the view at all in regard to a second bailout.”

Well, that’s OK then, isn’t it?

Kenny says Ireland will not need new bailout (Irish Times)

(Photo: Stefan Rousseau/PA)