Dublin, 09/01/2013 (Agence Europe) - Action stations in Dublin. The Irish government is taking advantage of its new six-month presidency of the Council of the EU to defend its action to tackle the crisis and spread the news about investors returning to Ireland. Proof of this is the fact that the banks, which had forced the country to go cap in hand for international aid, are now under control and the treasury is now rolling over medium-term debt.
Irish Finance Minister Michael Noonan said on Tuesday 8 January that Irish banks did not need any further capital because they are now fully recapitalised. He said the European Stability Mechanism (ESM) might buy shares in nationalised banks like Anglo Irish Bank that are still state-owned. On 9 January, Irish deputy prime minister, Pat Rabbitte, said that he was in talks with the ECB and was confident that they would be completed before the March payment. He wouldn't give any details but progress had been made and there would be a good outcome, he said. Payment of the next installment of aid to Ireland, €3.1 billion, is expected at the end of March 2013.
Noonan welcomed Ireland's return to the money markets in its first issue of medium-term debt. On the same day, Ireland managed to issue €2.5 billion in four-and-a-half-year bonds at 3.45%, having only planned to issue €2 billion. He explained that 85% of the bonds had been bought by foreign investors and Dublin would be able to roll over all its normal debt on the money markets by the end of the year (some €10 billion in total is plannined in 2013). We are gradually getting back on track, said Irish European Affairs Minister Lucinda Creighton, pointing out that the re-issuing of these bonds was a first step.
Irish Foreign and Trade Minister Eamon Gilmore said the EU-IMF financial aid package for Ireland was a recovery story that could be an example for Europe, a way of giving Europe hope. Rabbitte said on Wednesday 9 January that Ireland had always met the targets set for it and therefore had made very substantial progress, pointing out that Ireland has even improved on its public deficit reduction targets (achieving 8% of GDP rather than the expected 8.6%). (CG and MB/transl.fl)