Politicians and Election, Vote in Freedom, Actively Participate in Democracy, Vote for Change, Online referendum
Páirtí an Lucht Oibre

ECB's Trichet "a civil servant" -Irish Labour party ‎

Páirtí an Lucht Oibre 42%

button ElectionsMeter.com


The leader of Ireland's Labour party, tipped to be part of the next government, labelled European Central Bank President Jean-Claude Trichet as a civil servant who will go along with any renegotiation of the country's IMF/EU deal.

Eamon Gilmore, likely to become deputy prime minister and also hold a senior ministry in the next coalition, made his comments after Trichet said Ireland should stick to the plan, which involves Dublin implementing harsh cutbacks in return for 85 billion euros (£72 billion) in funding.

Both Labour and the main opposition party Fine Gael, poised to take control after a February 25 poll, are campaigning to renegotiate parts of the deal put in place to fund the state and further capitalise Ireland's majority state-run banks.


"Mr. Trichet is a European civil servant. He's a very important European civil servant and any civil servant will of course always stick to the plan that is there at the moment, just as he will stick to the plan that is renegotiated when it is renegotiated," Gilmore told national broadcaster RTE.

Irish banks dependence on the ECB has grown massively in recent months, with lenders' funding support from the euro zone's central bank up by 50 percent in the second half of 2010.

That reliance eased slightly to 132 billion euros at the end of December compared with 136 billion a month earlier but the Irish central bank also increased its special funding to 51.1 billion euros, a 6.4 billion euro rise.


The centre-left Labour Party wants a lower interest rate on Ireland's IMF/EU loans, to force losses on senior bank bondholders and an extra year, until 2016, for Ireland to get its bloated budget deficit back within EU limits.

Gilmore told voters on Thursday that they had a choice over whether their financial affairs would be done "Frankfurt's way" or Labour's way.

A lawmaker for the party said on Friday that such rhetoric needed to be taken in the context of an election campaign.


"I think the rhetoric has got to be seen as part and parcel of an election campaign. We have to communicate to people who don't follow the news headlines on the hour, every hour," former finance minister Ruairi Quinn said.

Centre-right Fine Gael, tipped to lead the next coalition, warned on Friday that it would unilaterally restructure bank debt not covered by a state guarantee unless the burden on the country from an EU/IMF bailout is eased.


Reporting by Padraic Halpin and Carmel Crimmins



Feb 4, 2011

Source: www.reuters.com


parass -
Flag it!no spam

ElectionsMeter is not responsible for the content of the text. Please refer always to the author. Every text published on ElectionsMeter should include original name of the author and reference to the original source. Users are obliged to follow notice of copyright infringement. Please read carefully policy of the site.

load menu