ECB’s demands on Ireland are unreasonable

WITHOUT a shadow of a doubt, the most tragicomic element of this week was the payment of $1 billion — over €700 million — to Anglo bondholders.

This bond was unsecured, relying in other words on the solvency and good faith and credit of Anglo Irish Bank; it was also unguaranteed, in that it was not covered by the disastrous government guarantee of banking liabilities in 2008.

Although technically not insolvent, due to promissory notes which will cost the Irish taxpayer upwards of €80 billion by the time all is said and done, Anglo is economically bankrupt.