We will have a mirror site at http://nunezreport.wordpress.com in case we are censored, Please save the link

Friday, June 15, 2012

IMF urges Europe to help refinance Irish bank bail out




Dublin, which signed up to an 85 billion euro ($108 billion) EU/IMF bailout in late 2010, aims to return to long term debt markets later this year to help it prepare for the ending of official funding next year and meet borrowing needs of up to 20 billion euros in 2014.

The IMF, one of the country's "Trokia" of lenders along with European Union institutions, said Ireland would need a "substantial improvement" in market conditions to achieve a planned return to bond markets to avoid a new bailout when the current one expires at the end of next year.

Growing market turmoil is increasing the importance of addressing the huge burden of 63 billion euros of debt taken on to bail out the country's banks, the IMF said in its quarterly report on Ireland.

"Tackling the issues remaining from Ireland's deep banking crisis in a proactive manner has become critical, and such efforts would be most effective as part of a broader European plan to stabilize the euro area," the report said.

One avenue would be for Europe to soften the terms of Ireland's bank bailout by replacing 30 billion euros of high-interest IOUs given mainly to the former Anglo Irish Bank with another instrument that would lengthen their maturity and cut their interest rate.

The Telegraph

No comments:

Post a Comment