Somers: Ireland will need second bailout

Ireland will probably need another European bailout according to the former chief executive of the National Treasury Management Agency, Michael Somers.

Mr Somers said yesterday that the EU, IMF and ECB troika may have to consider creating a special 30-year loan facility similar to the war-time facilities which the banks offered to Britain.

In reality, Ireland would be expected to repay the interest on these special crisis loans, but that the loan itself might never be repaid, he said in a radio interview with Newstalk FM presenter Ivan Yates.