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Troika to make their last review visit to Dublin today

Ireland is due to exit the EU/IMF bailout programme this December.

Finance Minister Michael Noonan and IMF Managing Director Christine Lagarde who it is believed had dinner in Washington last night.
Finance Minister Michael Noonan and IMF Managing Director Christine Lagarde who it is believed had dinner in Washington last night.
Image: Niall Carson/PA Archive/Press Association Images

THE FINAL VISIT by Troika officials is taking place today. This is the twelfth review visit by officials, but Ireland is due to exit the EU/IMF bailout programme this December.

The focus of today’s discussions between the government and the Troika is believed to be on whether there is a need to establish a post-bailout emergency credit line for Ireland.

Credit facility

The precautionary credit facility would be put in place to help ease the transition from bailout funding to raising money on the normal international lending markets.

Speaking last Friday, the Taoiseach Enda Kenny said that there were no were “no formal discussions on Ireland’s post-bailout status”.

In a statement last week the Department of Finance was keen to outline the discretion Ireland has in relation to any credit facility, saying: “Ultimately, the final decision on post-programme options is one for the Irish authorities.”

The way forward

This is the sentiment echoed by the International Monetary Fund (IMF) on Thursday.

A spokesperson said that the “structure of the relationships with financial support going forward, it’s up to them,” adding that ultimately it is the Irish authorities who must to evaluate the situation and determine whether they need a financial backstop.

The spokesperson for the IMF stated:

… this is really ultimately for the Irish authorities to determine. Now, you know, this always happens. I mean when you reach, you know, turning points in relationship with the IMF, authorities are always going to think about what the next relationship will be.

There’s no rule of thumb, it’s all done on a case by case basis… Ireland is in a strong position in terms of its bond yields and cash buffers.

But, there’s uncertainties in Europe in the global economy. So these are all sorts of factors that the authorities themselves have to weigh…

Read: Taoiseach expects decision on post-bailout credit facility before December exit>

Damien Kiberd: If Enda wants cash from his EU mates, he needs to stop ticking the boxes>

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