Der Spiegel: EU Pushing Ireland to Brink of Ruin

Via, Carsten Volkery writing in Der Spiegel – Drastic Cuts and Punitive Interest Rates: The EU Is Pushing Ireland to the Brink of Ruin:

The Irish government has just passed its fourth budget in two years. But the drastic savings measures it contains will not help the country’s massive debt problem. Some economists are now predicting it is only a matter of time before Ireland defaults…

Yet this huge national sacrifice will not significantly improve the country’s massive debt problem. The sometimes severe cuts to social welfare payments, public sector pay and state investment pale into insignificance when compared to the massive gaps in the Irish banks’ accounts. That is why investors are continuing, undeterred, to speculate on Ireland’s eventual insolvency.

Read more.

This entry was posted in Accountability, Bankers' Bailout, Budget, Debt Default/Restructuring, ECB/IMF, Economy, EU, Euro / Sovereign Money, Leo Varadkar versus the World and tagged . Bookmark the permalink.

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