Bailout rate cut delayed by a month

IRELAND will almost certainly have to wait at least another month before getting a cut in the interest rate it pays on its EU/IMF loan, according to EU and government sources.

There was some optimism that finance ministers at an informal meeting in Budapest later this week would give political agreement to reduce the rate from 5.8% to 4.8%, saving the country €450 million a year.

However, an ill-tempered election in Finland where the eurosceptic anti-bailout party, the True Finns, are threatening the government parties, means they will be unwilling and unable to make any concessions.