Sunday, November 28, 2010

European Union approves €85 billion rescue of Ireland

by Bill McBride on 11/28/2010 01:46:00 PM

Update: Here are the details: Announcement of joint EU - IMF Programme for Ireland

From the Irish Times: EU finance ministers agree deal on Irish rescue package

The Irish Times reports that the European Union has approved the €85 billion rescue package for Ireland with an estimated 5.8% average interest rate.

Also, the WSJ reports progress on the "permanent resolution mechanism" (aka default mechanism): EU Outlines Bond Restructuring Plan

Creditors of euro-zone countries that face insolvency after 2013 will see their bond holdings restructured ... [the proposal was] agreed earlier Sunday by German Chancellor Angela Merkel, French President Nicolas Sarkozy, EU President Herman Van Rompuy and European Central Bank chief Jean-Claude Trichet