ESM head: Recapitalisation of Irish banks using ESM 'unlikely'

The head of the European Stability Mechanism, Klaus Regling, says Ireland's chances of receiving retro-active recapitalisation of our banks, using the ESM, are "unlikely".

The Government has been lobbying to be able to use the ESM to directly recapitalise AIB and Bank of Ireland following assurances that the Eurozone had committed to cutting the link between sovereign and bank debt.