Report missed scale of bank losses
A report on the health of the Irish banking system — commissioned by the financial regulator in 2008 and relied upon by taoiseach Brian Cowen to justify the bank guarantee — drastically underestimated the extent of losses that would be made.
The report, compiled by PriceWaterhouseCoopers (PwC), found that in its worst case scenario, Irish banks would lose €10.6bn at most.
The figure pales in comparison to the €64bn taxpayer-funded …
Ireland to be ‘top earner’ from quantitive easing
Ireland stands to benefit more than any other nation from the ECB’s €1.1 trillion policy of quantitative easing, with hundreds of millions of euro potentially flowing through the economy by next year as a result.
The country will be a “top earner” from the ECB plan to kickstart growth in the eurozone, according to MEP and former junior minister Brian Hayes.
The QE programme, which began amid much European fanfare …
Mortgage drawdowns jump 48pc in 2014 to more than 22,000
The number of mortgages drawn down rose 48pc in 2014, to more than 22,000, according to a new report by the Banking and Payments Federation Ireland (BPFI).
BPFI economist Ali Ugur said there will need to be pick-up in home completions if the expected demand for housing is to be met.
Eurozone recovery is reversible, warns ECB
European Central Bank executive board member Benoit Coeure cautioned that the region’s economic recovery is reversible and needs to be used as an opportunity by governments to boost growth potential.
“Be careful, the recovery is cyclical and led by low oil prices,” Mr Coeure said yesterday at a conference in Paris. Cheaper energy “may last for some time, but could also not last that long”, he said.
The remarks can …
Ireland’s GDP growth fastest in EU
Ireland’s economic growth rate surged to a post-crisis high of 4.8% last year, the fastest rate in the EU, as data confirmed a stunning recovery from the devastating 2008 property crash.
After two years of near stagnation, higher exports and consumer spending lifted 2014 gross domestic product growth to almost four times the average 1.3% rate posted across the EU after most countries had published data.
It is the country’s …
GDP growth of 4.8% makes Ireland fastest growing EU economy
The economy grew by 4.8% of GDP last year – the fastest growing economy in the European Union, according to preliminary figures from the Central Statistics Office.
GNP – which strips out the effect of multinational companies – grew by 5.2%.
Net exports grew by 10.5%, while domestic demand – a key driver of jobs growth – grew by 3.5%.
Financial services ‘has potential to create 10,000 jobs’
The financial services sector has the potential to create up to 10,000 jobs over the next five years, according to a major strategy document released by the Government.
The ‘IFS 2020 — a Strategy for Ireland’s International Financial Services Sector 2015-2020’ was unveiled in Dublin yesterday by the Taoiseach Enda Kenny and the Tánaiste Joan Burton.
The IFS 2020 paper looks to make Ireland a global leader in a number …
European Central Bank in trouble rolling out quantitative easing
The amount of bonds eligible for the ECB to buy under its quantitative-easing programme is poised to shrink as the purchases risk pushing more yields below zero, according to Societe Generale.
The ECB, led by president Mario Draghi, began buying euro-area sovereign debt on Monday under the 19-month plan to inject €1.1tn into the region’s economy to spur growth.
While the ECB was said to have purchased debt with negative …
EU finance ministers agree €315bn investment plan
EU finance ministers agreed to proceed with a planned €315bn investment plan, while reminding crisis-hit nations it will not offer them special assistance.
The investment fund, EU Commission president Jean-Claude Juncker’s flagship effort to jump-start growth, won a green light from ministers at yesterday’s meeting in Brussels. This paves the way for discussions with the European Parliament, as policy makers target a final deal by June.
Germany, the Netherlands and …
Fee cap for paying on credit card
The cost of paying with plastic will be cut throughout the EU after European Parliament members voted overwhelmingly to cap their fees.
The agreement comes following a long-running battle with the main card companies that have a near monopoly and which fought against the controls, arguing they would not have the effect of reducing costs.
The European Commission, which drew up the initial proposals, says the cap on fees will …