Irish debt deal means decades of austerity to cover bank bailout

Irish debt deal means decades of austerity to cover bank bailout - World Socialist Web Site

▻http://www.wsws.org/en/articles/2013/02/13/irel-f13.html

Irish debt deal means decades of austerity to cover bank bailout
By Jordan Shilton
13 February 2013

Ireland’s Fine Gael-Labour coalition announced an agreement with the European Central Bank (ECB) last week, ostensibly designed to remove the “promissory note” payments to bail out the failed Anglo Irish Bank.

In reality, the debt reorganisation means that the Irish population will take on responsibility for paying an even greater proportion of bank debt, which will be extracted through decades of austerity.

#irlande #crise-bancaire
The debt restructuring agreement exchanged the yearly payment of €3.1 billion (US$4.2 billion) of “promissory notes” for long-term government bonds. The government had been due to make these payments over the next 10 years to the Irish Bank Resolution Corporation (IBRC)—the entity charged with managing the assets of the old Anglo Irish Bank.