Ireland is to repay International Monetary Fund bailout loans early

Ireland is to repay International Monetary Fund bailout loans early

The Finance Minister has announced that Ireland is going to pay back the rest of its bailout loan early.

"The nature of the loans varied and the negotiated rate with the British government was similar to a fixed rate mortgage, there was a certain rate and there was a break clause in it", Donohoe told reporters.

The early repayments which will reportedly save the Government around €150m in the long run comes as the Government have made a decision to take advantage of current interest rates which are more favourable now than in the future.

The Government has averted a €200 million penalty by deciding not to repay its United Kingdom bailout loans early, as it moves ahead with plans to refinance its remaining International Monetary Fund debt as well as bilateral borrowings from Denmark and Sweden.

Ireland received 22.5 billion euros ($27 billion) from the IMF in 2010 as part of a 67.5-billion-euro EU-IMF financial assistance programme which helped the country recover after the financial crash.

His statement continued: "Actions taken in recent years, and the sacrifices made by our citizens, have laid the foundations for a solid and sustained economic recovery in Ireland".

"On the basis of NTMA advice and Departmental analysis, the Minister intends to proceed with these early repayments which have the potential to generate considerable interest savings, improve Ireland's debt sustainability, provide liquidity benefits and increase the ECB's purchase capacity for Irish government bonds in its quantitative easing programme", the department said.

"The NTMA has previously implemented arrangements to repay over €18bn in International Monetary Fund facilities to take advantage of reduced market borrowing costs and create savings for the exchequer".

"The Exchequer is in a healthy funding position", Frank O'Connor, NTMA's director of funding and debt management said. "At the end of August we had €20bn in cash and liquid assets".



Related Posts

Benedict Cumberbatch's Thomas Edison lights up The Current War trailer
It was a slug fest between Edison, with his direct current electricity, and Westinghouse, with his alternating current system. Alfonso Gomez-Rejon also directs Katherine Waterston , Tom Holland , Tuppence Middleton , and Matthew Macfadyen .

England drop Woakes for 3rd Windies Test
I felt in really good rhythm. "Luckily I think it's passed Antigua and those islands going up, and hasn't affected them that badly".

Ukraine Considers Russia's Proposal on UN Mission in Donbass 'Strange'
A 2015 peace deal brokered by Germany and France helped reduce the scale of fighting, but regular clashes have continued. Kiev accuses Moscow of sending troops and heavy weapons to the region, which Russian Federation denies.

Bradley County Officials say roads in Charleston, Tenn
Students at nearby schools were staying inside, while air conditioning units were cut off to avoid bringing in smoke. Any students or adults who were still at Charleston or Walker Valley are sheltering in place at this time.

Price Target Analysis Scorpio Tankers Inc. (STNG)
When applying indicators for technical analysis, traders and investors may choose to examine the ATR or average true range. The company reported the earnings of $-0.07/Share in the last quarter where the estimated EPS by analysts was $-0.1/share.

Predators' Ryan Ellis out 4-6 months after knee surgery
The Predators traded for defenseman Alexi Emelin in a deal with the Vegas Golden Knights in exchange for a 2019 third-round pick. Poile says Bonino, who broke a foot in the Final, is skating and hopefully will be ready to play near the start of the season.

Hollywood Pickpockets Using Bird Poop as Ruse, Police Warn
The man and woman supposedly approach people tell them there is bird feces on them and offer to clean it off. Anyone who recognizes these two bandits is asked to contact the LAPD Hollywood Division at 213-972-2939.

China donates sum for soldiers in Marawi
The fighting, which broke out on May 23, continues as government security forces try to retake the city from Islamist extremists. A bomb from a Philippine Air Force air asset explodes on impact at the main battle area in Marawi City on August 30, 2017.

Voyager Therapeutics, Inc. (NASDAQ:VYGR) Trading Up - Short Interest decreased by -41.65%
Stock market analysts and brokers have recently amended their target prices on shares of Voyager Therapeutics, Inc. The business had revenue of $1.18 million during the quarter, compared to analyst estimates of $3.27 million.

Putin Echoes China in Rejecting Tougher North Korea Sanctions
Some Chinese academics and scholars say more powerful sanctions could lure North Korea to the negotiating table. Putin also said current trade between Russian Federation and North Korea was "effectively zero".

© 2015 ExpressNewsline. All Rights reserved.