Promissory note deal will save State €800m in interest payments: Davy

The restructuring of the promissory notes will yield the State €800m in savings through lower interest rate payments between this year and 2030, according to Davy Stockbroker economist Conall MacCoille.

“This is a significant reduction in interest costs but not transformative for the budgetary arithmetic,” he said.

“So the pace of fiscal consolidation will not change markedly. ECB monetary finance has been extended, via a 14-year average holding period for the Central Bank of Ireland of the newly issued government bonds.”