Germany wades in with bailout plan

JUST hours after criticising Ireland’s bank bailout, Germany announced its own scheme but the European Commission insisted there was a big difference between the two and the Danish guarantee agreed over the weekend.

Ireland’s €400 billion plan covers just six Irish banks and guarantees all current and future debts, not just for ordinary depositors but for commercial customers such as property developers and interbank loans.

The German scheme is expected to cover about €570 million but will be limited to guaranteeing the savings that all German ordinary, non-business, consumers have in any bank in the country.