Ireland - Hero to zero!

michaels

If you were a conspiracy theorist you might say that the crisis had been deliberately triggered by the Germans talking about haircuts so that the high tax European consensus could be imposed upon Eire....

Mr_Mumble wrote: »

FT - Irish showdown over corporate tax

This could get very ugly.

worldtraveller

• AIB and BoI owe over Euro 100 billion to foreign investors and fear another run on deposits could destroy them

• The Irish Central Bank is keeping them afloat after ECB said: 'We won't lend you any more'

• Collapse would trigger Euro 440 billion bank guarantee... but IMF has option of locking the banks' doors

Ireland's biggest banks are facing collapse this week unless an immediate international bail-out package can be agreed, senior insiders have revealed.

Allied Irish Banks and Bank of Ireland have each suffered a multibillion-euro 'run' as foreign investors withdraw their cash amid fears that both institutions are effectively bust.

It was this secret 'run' that brought the IMF and EU bail-out teams to Ireland in an effort to prevent the banks collapsing entirely. If they do, it would trigger Irelands Euro 440 billion blanket bank guarantee potentially leaving the State unable to pay the debt.

One option available to the IMF would be to lock down the Irish banks until a deal is agreed to recapitalise them. In an IMF-led bail-out in Argentina in 2002, banks were shut for 10 days to halt the flight of deposits.

The Government is desperate to play down the scale of the banking crisis because even talking about it could panic personal depositors into withdrawing their cash even though it is guaranteed by the State.

But some bank insiders fear that ministers, many of whom spent the day canvassing in Donegal yesterday, have simply failed to grasp how close they are to the abyss.

MailOnline

halight

So we may hear of a bailout in the next few days. Lets just hope it works

ChiefGrasscutter

Any possibility being seriously mooted that the IMF/EU/Irish Government might impose a Bank Holiday/lockdown will result in the mother of all bank runs on all the Irish Banks en masse- starting Monday morning.

Mind you it is a good negotiating stance. Do nothing, watch the chaos steadily engulf all around you while suggesting that the others should be 'more reasonable in their demands': management by crisis - never fails.

dopester

Conrad wrote: »

I had a peek at Irish prices in Cork yesterday and it's as if nothing has happened. New appartments at 200k euros, ordinary 3 bed semis at 230e. My budget is £20k cash!

I know. It's ridiculous and really discouraging for the prospects of a crash over here in basketcase England... with meltdown basketcase Ireland still trying to flog property at those prices.

Just been having a quick look at a £90,000 (asking price) 3-bedroom flat with roof garden in a fairly ok South Manchester area, which is a 10 minute stroll from the train station, and just 5 minutes on a train into and out from Manchester Picadilly station..... but the downside being it's above an Irish bar which also does karaoke. Also looks to need new glazing and fittings and what not, and wouldn't meet my criteria of easy access incase of illness. Despite all that looks a major bargain against the Irish property prices I've just had a quick glance at on daft.ie if the noise from below wasn't outrageous.

JP45

According to the Sunday Times, the Irish bail-out will be "bigger than Greek deal".

The Republic of Ireland is set to receive a bail-out package bigger than that given to Greece, a report says.

The international rescue deal will be worth up to 120bn euros (£102bn; $164bn), compared with Greece's 110bn euros, the Sunday Times reported.

But the country's Europe Minister, !!!!!! Roche, said he had seen no information to substantiate such a figure.

http://www.bbc.co.uk/news/business-11805529

bigheadxx

The only thing that the ECB wants to protect is the Euro. £100BN? For what? If Ireland pulled out of the Euro and the "New Irish Punt" was devalued to realistic level you would see billions of pounds poured into Ireland by private investors rather than the EU.

vivatifosi

halight wrote: »

So we may hear of a bailout in the next few days. Lets just hope it works

Tis the news headline now. Interesting comments from Irish citizens on the BBC site here:

http://www.bbc.co.uk/news/business-11806116

leveller2911

Michael Collins will be turning in his grave with this news.......Its a sad day IMO for Ireland,there was a post last week on the Forum (can't remember who) that went something like "Ireland fought for 200 years to get independance from the British realm "and has now given it away and for what?



"Its so lonely around the fields of Athenry"............http://www.youtube.com/watch?v=NLZRWNdGCUc

amcluesent

End of an Éire, to be sure. Them Paddy's are p0wned.