Abandon the eurozone now and slash debt, urges expert

THE rate of interest Ireland pays on its €112 billion (and growing) national debt could be cut dramatically by abandoning the euro, argues Professor Ray Kinsella.

The UCD professor cites the example of Denmark which has remained outside the eurozone and can sell 10-year bonds to fund its national debt at 2.6%, while we are effectively frozen out of the market and would have to pay 9.86% for access to similar funds at current rates.

Mr Kinsella said it is time for Ireland to leave the eurozone as soon as possible. He said the economic forecasts on which Ireland’s budgetary policies and the bailout have been constructed have now shown to be wholly wrong. So, too, have the policies, he believes.