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IRELAND WILL HAVE to borrow around €20 billion less than expected over the coming decade, thanks to deals delaying the repayment of Ireland’s bailout loans.
That’s according to finance minister Michael Noonan, who has welcomed today’s news that the EFSF fund is delaying the repayment dates for nearly €15 billion in loans that Ireland has drawn down.
The decision made by the fund’s board of governors today follows that of the similar EFSM fund last week, which postponed the repayment of the €21.7 billion Ireland has borrowed from it.
The two funds, between them, are responsible for around €40 billion of the total bailout package, worth €67.5 billion, which Ireland is receiving from Europe, the IMF, the UK, Sweden and Denmark.
The European loans were due to start maturing in two years’ time – with a €1.27 billion repayment due in February 2015, a €5 billion repayment due in December 2015, and a €4.19 billion repayment in July 2016.
Delaying the repayment dates by an average of 7.5 years means Ireland needs to borrow less on the open markets – and should therefore be able to expect a lower interest rate when it tries to leave the EU-IMF package later this year.
“This builds upon the successful promissory note negotiations which reduced the market refinancing requirement by €20 billion over the next 10 years,” Noonan said in a statement this evening.
“Taken together, the successful conclusion of both sets of negotiations has delivered a cash flow benefit of €40 billion over the next decade and will further strengthen our ability to make a full and sustainable return to the markets.”
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I can’t feel grateful for an easy-payment plan on money that I don’t owe.
We shouldn’t owe it in the first place. I dont feel grearful..I feel cheated. I think the Irish people have suffered a great injustice to be saddled with bank debt. I might add that its only those who stay on the island and continue to work that are going to have to pay. Many are just packing their bags and emigrating for a better life. Most employment being created does not offer a living wage. Much of it is subsided by Social Welfare payments like Family Income Supplement.
FU noonan and Anglo not our debt.
Don’t know what his point is in light of the Anglo fraud ! Seeing that they lied about almost every aspect of the Anglo loan book surely the deal is now null and void so we should owe nothing !!! rephrase that we do not owe anything !!!!!
fag packet economics
Noonan is fair man on the calculator to shoot numbers out of thin air !!
That baldy fool still trying to make clowns out of us read these words noonan it is not our debt period
It is our debt. Granted, it wasn’t. But now it is. Sorry.
You might like to accept that synopsis of it
But I and my kind will.not
Doesn’t matter whether you accept it or not. You’ve been landed with it. I don’t like it all that much either, but that’s how it is.
You might have bowed down and accepted and agree with with the white collar gangsters synopsis been meted out to but I and my kind do not
“My kind”. Lolz.
Whatevs trevs.
Good man derek. Nice to see you stand up and not allow your taxes to be spent paying the back… now… share your secret as to how you’re stopping your money paying these debts so we may all be free.
More spineless people hiding behind false identities I dif not say I cannot stop paying but I will never accept it
That sounds like u have accepted that u can’t stop paying for it?
I don’t know whats worse, Noonan constantly taking us for idiots, or the fact that theres so many idiots who constantly believe him.
Noonan couldn’t care less he’s got his
Pension to look forward to.
No, he knows we’re not idiots. He’s just trying to get out of this without a contract being placed on him and looking forward to the many lucrative speaking engagements such as ‘How I Cleaned Up Ahern’s Mess’ at €40,000 a throw. God bless capitalism.
Mr. Noonan, I, for one, don’t believe you Mr. Noonan.
Supposed to be grateful for a cut on money we should not owe? I’ll tell my kids the good news.
I have to buy groceries tomorrow, is it ok if I tell them i will pay them in 10 years?
You can fool most of the people all of the time.
The big mistake is that “we” are NOT borrowing 20bn less. All that is happening is that the existing loans are being extended. “We” still owe the same amount – there is nothing “less” about it. Why do the media not point this out?
Well Inflation should reduce the debt some what in real money terms.. granted nothing to be ecstatic about.
Mark Guerin – whether the debt is extended by ESFS or refinanced through the markets, the debt is still there and inflation has no saving affect. The only way there is a saving is if the interest rate on the ESFS loan is lower than market interest rate.
How many times must we say it: IT’S NOT OUR DEBT.
Everyone knows its not our debt,but unfortunatly we are still stuck with it,we dont have a choice,thats the reality.
Who’ debt is it? I always here its not ours but i never hear who’s it actually is?? Would you accept that between 2000 and 2008 that Ireland as a country went on spree of tax breaks and reductions, social welfare increases and huge infrastructural projects?? Would you accept that? Would you also accept that this ‘spree’ was paid for to a large extent as a result of tax revenues coming from the construction sector…? Would you also accept that the constructions sector recieved its funding from banks? So if you join the dots…. The welfare state that Ireland became was funded by borrowed money…. So no question about it…. a lot of it is our debt…
where have you been you caveman…32 billion dumped on the people of this country on prom night…i hope your happy that you have sold out the people of this country…you and your likes disgust me…
What’s this “WE”pale face!!
Makes it a bit easier on us which is possitive,but it just shunts the problem on to the generation not even born ,im betting they wont be paying too many visits to our final resting places.
have your say