Dec. 7 2010 | Some countries in Western Europe are bankrupt or are having serious liquidity problems and they should be allowed to restructure their debt, famous investor Jim Rogers told CNBC Tuesday Jim Rogers Ireland is bankrupt
"Irish banks Allied Irish Bank (AIB) and Bank of Ireland (IRE) are lower amid expectations that the banks are heading toward greater state ownership, AP reports.
There is deep skepticism that an international bailout loan -- whose details are expected to be unveiled Sunday -- will be enough for Ireland to resolve its debts, the story said.
Speculative media reports in Dublin and Brussels fueled nervousness, with claims that the International Monetary Fund and European Central Bank experts driving the loan talks in Dublin would like to make Ireland's senior bondholders -- chiefly foreign banks -- eat losses in Ireland's debt-crippled banks.
World Business: Ireland, once one of Europe's hottest economies is in a sorry state. Laden with debt, but desperate to avoid asking for help from the IMF and EU, the country has to take drastic action. With four companies going bust every day, and unemployment soaring, it will take all the luck of the Irish to get out of this economic mess.Reporter: Diana Muriel
The AP is reporting that Ireland has unveiled the most severe budget cutbacks in its history on Wednesday. The country mired in debt has announced a four-year plan of spending cuts and tax hikes to raise 15 billion euros ($20 billion).
Approximately 24,000 state employees could lose their jobs in the process and the sales tax could rise to 23%. The 2011-2014 plan will shave 10 billion euros ($13.3 billion) from spending and bring in 5 billion euros ($6.7 billion) from extra taxes.
The austerity plan is a prerequisite for Ireland to receive an EU-IMF loan estimated at 85 billion euros ($115 billion). Ireland is hoping its deficit, estimated to reach a record 32% this year, will fall to 3% of GDP by 2014.
Nov. 17 2010 | Ireland has agreed to work with a joint EU-IMF mission to help its banking sector, but will the debt-stricken country continue to resist a bailout? Art Hogan, director of global equities at Jefferies joined CNBC to discuss the matter.
Nov. 15 (Bloomberg) -- Stuart Thomson, international fixed-income fund manager at Ignis Asset Management, talks about the prospects of an Irish bailout and for contagion in Europe. He speaks from Edinburgh with Maryam Nemazee on Bloomberg Television's "Countdown."
March 31 (Bloomberg) -- Kit Juckes, chief economist at ECU Group Plc, talks with Bloomberg's Linzie Janis about the outlook for Ireland's banks after the government set out plans to revive the country's financial system.
