Fresh warnings of ECB and IMF intervention into Irish monetary affairs

There have been fresh warnings today that the ECB and IMF could be controlling Irish monetary affairs early in the new year.

The cost of borrowing is continuing its upward trend today, with investors seeking almost 8% returns for 10 year Irish bonds.

Although Ireland is not currently active in the market there are concerns that the high borrowing costs will remain.

Market Analyst Paul Somerville said that investors are unconvinced the country can reduce its deficit.

"We have to have a new election… We are using up our surplus money that we have already borrowed. We need to go back to the bond markets maybe some time maybe February, March the latest," he said.

Mr Somerville also stated that he thinks the country needs a "new government, a new mandate and with a new plan."