Hayes: Spanish deal not better than ours

Junior Finance Minister Brian Hayes has insisted that Spain has not received a better deal on its bailout package than Ireland.

Markets across Europe and Asia have this morning given the €100bn deal the thumbs-up, with the value of the euro rising to a two-week high of just under 1 dollar and 27 cents.

Full details of the Spanish rescue are yet to be agreed but because the funds are confined to re-capitalisation of banks, Spain will escape some of the economic conditions attached to Ireland’s deal and will not be subject to the same monitoring from the troika.

However Minister Hayes said the conditions under which Spain can access the funds are the same as Ireland's, and that their austerity programme may even be tougher considering they must reach a 3% deficit by 2014, while we have until 2015 to do so.

Fianna Fáil’s spokesman on finance, Michael McGrath, said the deal was "very disappointing" because "it reinforces the principle in the eurozone that the taxpayers have to take on the losses in the banking system", while Sinn Féin said the deal shows there is one set of conditions for Spain, and another for Ireland.

Minister Hayes said the Government's eye is still firmly on the prize of a renegotiation of the promissory note structure of the Anglo bailout.

"I'm confident that we can get to a better place on the promissory note," he said.

"And that would certainly be the game-changer in terms of making our debt more sustainable and also allowing us to enter the markets (sooner).

"That is the issue that we have always focussed on."

Related Articles

More in this Section

IFA conference looks at minimising the threat of global milk price volatility

Mother calls for greater accountability among medical staff after inquest into baby's death

Government reverses cuts for firefighter recruits

Jury retires to consider verdict in David Mahon's murder trial


You might also like

Today's Stories

Abuse victim stands over allegations against ex-garda

Firefighter made hoax calls to feel ‘sense of excitement’

Three development packages worth €30m hit the Cork market

Boyfriend told woman lick beans off floor

Lifestyle

The host with the most...Graham Norton has a busy schedule with the Baftas and Eurovision on his cards

Nicci Taylor is looking for life and love on the road

Should couples ask for cash as a wedding present?

Make sure your dream home doesn't become a nightmare

More From The Irish Examiner