Noonan 'reasonably optimistic' about extension of EU part of bailout

The Minister for Finance Michael Noonan has said he has reached an agreement in principle on a deal to extend the maturities on Ireland's bank debt by seven years.

Mr Noonan was speaking as he arrived at a meeting of EU Finance Ministers in Dublin Castle this morning, as part of Ireland's Presidency of the EU.

Eurogroup ministers are meeting first to discuss the proposed deal for Ireland and Portugal which would give both countries more time to repay the EU portion of our bailout.

Speaking on his arrival at the ECOFIN meeting, Minister Noonan said he is reasonably optimistic.

He said: "The discussions I have had over the last 48 hours were quite successful and there is certainly agreement in principle now.

"Whether there is any particular difficulty that arises from colleagues or not, we won’t know until it is openly discussed at meetings, but I am reasonably optimistic."