How can GOV g'tee €480 billion euro of deposits when we are broke

dcmraad

Could someone please explain this as simply as possible.



How can the Government guarantee €480 billion euro of deposits when we are broke. Is the g'tee a load of BS.

Elevator

dcmraad wrote: »

Could someone please explain this as simply as possible.



How can the Government guarantee €480 billion euro of deposits when we are broke. Is the g'tee a load of BS.

am...

skelliser

and the penny drops!:rolleyes:

where the hell have you been for the last 2 years!

Max Power1

"guarantee" is worthless.

If theres a run lets see how long it takes until a default?

ilovesleep

With a new government hopefully coming our way soon

can they not scrap the EU/IMF bailout deal

Allow the banks to fail because they are failing anyways

Invite a foreign bank into the country for banking

And borrow from the Irish citizens to keep the country ticking over while we balance the books and get things in order.

Doing this would mean our country is ours And there wouldn't be a high interest rate to pay back every year. Also we'd have some sort of a chance of a recovery soon.

Byron85

dcmraad wrote: »

Could someone please explain this as simply as possible.



How can the Government guarantee €480 billion euro of deposits when we are broke. Is the g'tee a load of BS.

They can't. It's just an illusion which has been seen through, hence why deposits are still leaving the country en masse. Eventually it'll hit the deposits of the public and there'll be a run on the banks sooner rather than later.

irishh_bob

dcmraad wrote: »

Could someone please explain this as simply as possible.



How can the Government guarantee €480 billion euro of deposits when we are broke. Is the g'tee a load of BS.

rhetorical question

irishh_bob

Byron85 wrote: »

They can't. It's just an illusion which has been seen through, hence why deposits are still leaving the country en masse. Eventually it'll hit the deposits of the public and there'll be a run on the banks sooner rather than later.

perhaps but eventually those who fled the villiage will have to return back to some kind of a home

the country will cease to function if the banks are empty , personally i belive the run on the banks since around september was caused by a complete lack of trust by the people in the goverment , even cowen had made a state of the nation adress and told people thier money was safe , most people wouldnt have believed him , a new goverment will have credibility and deposits will return to irish banks

yermanoffthetv

ilovesleep wrote: »

With a new government hopefully coming our way soon

can they not scrap the EU/IMF bailout deal

Allow the banks to fail because they are failing anyways

Invite a foreign bank into the country for banking

And borrow from the Irish citizens to keep the country ticking over while we balance the books and get things in order.

Doing this would mean our country is ours And there wouldn't be a high interest rate to pay back every year. Also we'd have some sort of a chance of a recovery soon.

Wibbly wobbley Kenny square up to ze Germans? Eh doubt it. What you outlined was basicly what was done in Iceland, what should have been done here. Unfortunatly all political parties go weak at the knees when the EU is mentioned and we wouldnt want to upset our lovely neighbours now would we? :rolleyes:

Victor

dcmraad wrote: »

How can the Government guarantee €480 billion euro of deposits when we are broke. Is the g'tee a load of BS.

We are broke because of the guarantee. If we gave up on it, we wouldn't be broke.

But more importantly, for all the banks liabilities (mostly depositors' and other banks' money), there are also assets (private and commercial lends and loans to other banks).