Uncertainty on deadline for debt refinancing

The Government will have to wait at least another month before knowing if the EU will provide funds to make the country’s debt affordable.

Negotiations with the ECB on replacing the €31bn Anglo promissory notes appear to be stuck, while getting a new €31bn loan to refinance the money the State put into the banks will have to wait until Spain moves on its situation.

Minister for Finance Michael Noonan travelled to Berlin and Paris yesterday to whip up some political support for the Irish case to cut the country’s debt, which the IMF warned could spiral out of control if global growth does not pick up.