Bank guarantee a mistake according to EU official

sunshinediver

Many here will believe the bank guarantee is a mistake but to the best of my knowledge this is the first i've heard europe mention a position on the issue. According to Joaquín Almunia the Irish governments decision to guarantee all debt was a mistake.

Also the lack of communication between the previous government and europe as regards their intentions is highlighted

He goes on to suggest that burning senior bonholders in Anglo should not be allowed as the Irish government and state have effectively made a promise to honour this debt due to the unconditional guarantee.

http://www.irishtimes.com/newspaper/finance/2011/0617/1224299069031.html?via=rel

DJCR

sunshinediver wrote: »

Many here will believe the bank guarantee is a mistake but to the best of my knowledge this is the first i've heard europe mention a position on the issue. According to Joaquín Almunia the Irish governments decision to guarantee all debt was a mistake.

Also the lack of communication between the previous government and europe as regards their intentions is highlighted

He goes on to suggest that burning senior bonholders in Anglo should not be allowed as the Irish government and state have effectively made a promise to honour this debt due to the unconditional guarantee.

http://www.irishtimes.com/newspaper/finance/2011/0617/1224299069031.html?via=rel

No way, its a joke, the bank guarentee was the best thing ever!!

This is pure Europe covering their own asses.

Ahm, yes, we will give you money in a Joint EU/IMF deal. On condition of course that we also tell you how to spend it. Then when things arn't gong so well, we will say that your spending it wrong and it had nothing to do with us.

Lack of communication my ass - The IMF don't do lack of communication. Even the IMF didn't know how f**ked are banks were.

Hmmm, makes me wonder, how many European bond holders are there in Anglo?

Liam Byrne

sunshinediver wrote: »

Many here will believe the bank guarantee is a mistake but to the best of my knowledge this is the first i've heard europe mention a position on the issue. According to Joaquín Almunia the Irish governments decision to guarantee all debt was a mistake.

Also the lack of communication between the previous government and europe as regards their intentions is highlighted

He goes on to suggest that burning senior bonholders in Anglo should not be allowed as the Irish government and state have effectively made a promise to honour this debt due to the unconditional guarantee.

http://www.irishtimes.com/newspaper/finance/2011/0617/1224299069031.html?via=rel

Double-speak.

Saying it was a mistake and simultaneously saying that we have to honour that mistake.

If someone signs up to something by "mistake" then there are two options :

1) Admit it was a mistake and get it corrected
2) Deny it was a mistake and try to enforce it

This guy is trying to do both. Simultaneously.

Scofflaw

Hardly a surprise, surely? The reaction to the guarantee was pretty hostile and shocked at the time - it was a daft taking on of obligations. And, yes, then we were stuck with it, at least partly because the rest of Europe said "you made the bed, you lie in it".

And no, Liam, when someone says you must take the consequences of a mistake you mad,e they're not saying it's not a mistake. They're saying you have to take responsibility for your mistakes, rather than everyone else taking the consequences - something I thought you were quite keen on.

cordially,
Scofflaw

Liam Byrne

Scofflaw wrote: »

And no, Liam, when someone says you must take the consequences of a mistake you mad,e they're not saying it's not a mistake. They're saying you have to take responsibility for your mistakes, rather than everyone else taking the consequences - something I thought you were quite keen on.

I am quite keen on it.

Unfortunately I (and many like me) didn't make any mistakes and yet somehow I/we have to take the consequences - due to FF & Green decisions.