Reaction positive to latest figures

REACTION to the latest bailout of the banks has been broadly positive with analysts pointing out that the €24 billion will add no more than €2bn to the gross national debt. This is equal to about 1.5% of GDP.

That will leave our debt-GDP ratio at a high but sustainable 100%, said Davy Research yesterday.

Most of the additional capital requirement will be met by the National Pension reserve Fund cash reserves and some further debt management of subordinated bonds, they said.