Re: The Economic Crisis In Europe.
While in Greece there are rumors for renegotiation of the dept, Ireland starts formal talks with the IMF.
From the Irish Times :
IMF staff to begin formal talks with Government.
A dozen-strong mission from the International Monetary Fund (IMF) will begin formal discussions with the Government in Dublin today on a rescue package for the State running into tens of billions of euro.
The IMF delegation will include several banking experts who will take part in the discussions with more than 20 officials from the European Central Bank (EC
and the European Commission.
The fund spokeswoman in Washington, Caroline Atkinson, said the focus of the discussions was “to look at whatever measures might be needed to support financial stability”.
She said talks would include the IMF’s views “on the Government’s budget plans . . . on tax and spending measures.”
Taoiseach Brian Cowen denied that the rescue plan would lead to a loss of Irish sovereignty. He also dismissed suggestions of failure. “I don’t believe there’s any reason for Irish people to be ashamed and humiliated,” he said.
Speaking earlier, Central Bank Governor Prof Patrick Honohan said he expected the talks would result in the Government accepting a “very substantial” loan amounting to “tens of billions” of euro. “The ECB would not send large teams if they didn’t believe first of all that they could agree to a package,” he said.
Mr Cowen indicated that the Government did not share Prof Honohan’s views on the figure or a deal, saying his comments were premature ahead of negotiations.
“The governor gave his view. He is entitled to give his view. I am entitled to give the view about the decision the Government will take when the necessary discussions are over,” he said.
However, Minister for Finance Brian Lenihan later told the Dáil that the Government could accept an aid package for the banks after the talks with the IMF.
He said the establishment of a contingency fund would be a “very desirable outcome” but said no final decisions had been made.
It was possible that the funds would be made available but not drawn down, he added.
Full article
here