Irish hopes for major cost-cutting on bailout programme founder
Ireland had hoped that repayment of the €67bn loans would be pushed out for up to 30 years from the current average of 12-and-a-half, allowing the country time to recover and to put its money into growth.
However what is on the table now as the country prepares to exit the bailout is that just one amount of €3.6bn due to be repaid in 2016 would be extended, as has already been agreed for a sum of €1.2bn due in 2015. The agreement is likely to roll over both with an average maturity of 15 years and at an whatever interest rate prevails when the new money is raised by the EFSM — the EU’s fund that provided party of Ireland’s bailout.
