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Thread: Irish banks borrow E119bn from the ECB

  1. #1
    Politics.ie Member Ulster-Lad's Avatar
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    Default Irish banks borrow E119bn from the ECB

    Irish based banks and other financial institutions raised their borrowings from the European Central Bank by 25pc in just under a month to a total of E119.1 billion, the Central Bank said today.
    BUSINESS WORLD - Irish banks borrow E119bn from the ECB

    There you have it, we are definitely going the wrong way. Where will the money come from to repay this? 25% increase in borrowing in September.
    ‘The Great only appear great because we are on our knees: Let Us Rise!’ “ (James Larkin)

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    State-owned Irish banks.

    I wonder how much money these Irish banks are lending the Government? lol.

    I've heard most County Councils and Town Councils have six or seven (even eight) figure "overdrafts".

    Anyway, this is one way of "maintaining our sovereignty". The kind of accounting gymnastics that got us into this mess in the first place.

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    This is money borrowed to buy those junk government bonds.

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    At what interest rate are the banks borrowing this €119bn? Is it the ECB REPO rate of 1%?

    If so, what's with all the carping about the alleged high cost of funding, which they "have to" pass on to their variable rate mortgage customers. Anyone?

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    Now we know why we are not going near anymore bond auctions, the well is dry.

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    Politics.ie Member HarshBuzz's Avatar
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    this is only because no-one else will lend to them
    “'retail deposit flight, I don't see that as a great danger. Ireland is an island” - Brian Lenihan - to hundreds of international investors

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    Quote Originally Posted by Holy Cow View Post
    Now we know why we are not going near anymore bond auctions, the well is dry.
    FF and the Department of Finance (Secretary General, Mr. John Hurley) must think we're all mugs.

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    I can't get my head around all these zeros...

    Just as well that there are clever people around who know how to deal with a load of zeros, innit?

    EU bankers may get 25pc of bonuses in immediate cash - European, Business - Independent.ie
    "Human rights is about holding those with power to account for abuse of power." - Mary Robinson

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    Politics.ie Member Ulster-Lad's Avatar
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    Quote Originally Posted by Holy Cow View Post
    This is money borrowed to buy those junk government bonds.
    to try to keep our borrowing costs down.
    ‘The Great only appear great because we are on our knees: Let Us Rise!’ “ (James Larkin)

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    Quote Originally Posted by Ulster-Lad View Post
    to try to keep our borrowing costs down.
    And the more they borrow the higher the cost will go.

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