EU officials weigh reduced EU-IMF rate

CUTTING the penalty interest rate Ireland will pay for its EU-IMF loan was mooted among finance officials from the EU member states meeting in Brussels yesterday.

Ireland is due to pay almost double the amount of interest on the €68.5 billion that the EU will pay for raising the money on international markets, adding substantially to debt payments.

The officials were at a two-day meeting to discuss changes to the rescue fund put together by the EU and the IMF last summer after markets dramatically pushed up the cost of borrowing for many euro states.