Ryan confident of early rescue deal
Negotiations on an €85bn bailout for the economy were being thrashed out tonight as a minister revealed an agreement could be reached before international bond markets reopen on Monday.
As 50,000 people marched through the streets of Dublin over the country’s austerity budget, Communications Minister Eamon Ryan said it was likely an outline agreement for the rescue deal would be concluded tomorrow evening.
It is understood the final figures will be approved at a conference call of EU finance ministers and a meeting of the Cabinet.
However, Mr Ryan rejected reports the interest rate for a loan from the EU and International Monetary Fund (IMF) could be as high as 6.7% for nine years.
“I think that figure was inaccurate and I think it was unfortunate it went out there because I’m sure it scared a hell of a lot of people,” said Mr Ryan.
“There are still negotiations going on on that sort of level of detail. It’s not fixed yet and we’ll have to wait and see until it’s actually done.
“The overall figure has to make sense for us in that we are able to pay it back.”
Transport Minister Noel Dempsey said he would not speculate on how much interest would be paid for the bailout or comment on when the deal will be finalised.
Earlier public service workers, students and left wing political groups marched through Dublin under the banner of the Irish Congress of Trade Unions (ICTU) to demand a better and fairer way.
Thousands packed the capital’s main thoroughfare, O’Connell Street, for a mass rally outside the historic GPO – where the Proclamation of Independence was read in 1916.
About 400 activists later picketed outside the Dáil where a small group threw bottles, paint and bangers during a tense stand-off with gardaí.
Masked men also set fire to a poster of Taoiseach Brian Cowen.
A Garda spokesman said the protest passed peacefully, with just one man arrested and released.
Joan Burton, Labour Party finance spokesperson, said crunch talks with the IMF, European Central Bank and the EU was the last chance for the Government to secure a fair deal for Irish taxpayers.
She said a crippling rate of interest would be an indication that Ireland would be expected to default sooner rather than later.
“The onus is on Government to negotiate a settlement that cleans up the banks and puts the public finances on a sustainable trajectory without putting the Irish people in hock for a generation,” said Ms Burton.
“A fair settlement is one which disentangles the banking mess from our public finances and which does not impose an interest rate on us that is overly onerous.
“From day one of this crisis, the Government has prioritised the interests of the banks and their investors over the interests of ordinary people. This has to change.”
Sinn Féin Dáil leader Caoimhghin O Caolain accused the Government of committing economic treason by concluding a deal that will impoverish future generations.
“No such deal to place the State in economic bondage can be binding on a future government and should not be honoured,” he said.
“I call on all parties to state that these talks should end and the Government should pull back from the brink now.”
