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Published on Sunday 28th November 2010
Ireland, EU/IMF reach agreement on financial support
TAOISEACH Brian Cowen has held a press conference in Dublin to announce that agreement has been reached between Ireland, the European Union and the International Monetary Fund on a financial assistance package for Ireland.
A fund of €85 billion of financial support is being made available to Ireland to “return our economy to sustainable growth and to ensure that we have a properly functioning banking system”.
€67.5 billion of the funding is being provided from Europe and the IMF, while €17.5 billion will be provided by Ireland itself. €50 billion of the finance will be made available to provide for the financing of the State itself.
The remaining €35 billion is being provided to support the banking system – €10 billion for an immediate recapitalisation and the remaining €25 billion will be provided on a contingency basis.
The combined annual interest rate would be of the order of 5.8% per annum.
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