Irish finance minister Michael Noonan said country had been left with an ‘appalling legacy’ as a result of the banking crisis Europe’s debt crisis deepened on Thursday night as Ireland was forced into another €24bn (£21bn) rescue of its banking system and jittery financial markets pushed Portugal closer to a bailout. In a furious attack on the previous government, the Irish finance minister Michael Noonan said the country had been left with “an appalling legacy: a legacy of debt, of unemployment, of emigration, of falling living standards and of low morale” as a result of the banking crisis. After stress tests to assess the vulnerability of the banks to a drastic worsening of the economy, Noonan announced that the government would take a majority stake in all the major lenders. These are to be radically reduced in size and focused on just two players. Ireland’s banks have been crippled by the bursting of a house price and commercial property bubble, created when they took advantage of the country’s membership of the single currency to lend recklessly on low interest rates. The collapse caused an economic crisis that has seen output shrink for three years in a row. “We are now in the third year of the banking crisis. The previous government failed to act. They ducked and dived and procrastinated as they lurched from one crisis to the next. They went through periods of denial and periods of self justification. They paved the road to disaster with good intentions,” Noonan said. “They never fixed the broken banks, however.” Ireland’s central bank governor, Patrick Honohan, said the country was saddled with “one of the costliest banking crises in history”. The total bill has now reached €70bn – equal to €17,000 for each citizen. Analysts said that while Ireland’s latest bank bailout had provided the country with breathing space, time was running out for Portugal, where the government admitted that it would miss its target for deficit reduction in 2010 and revised up its budget deficit figure from 7% of GDP to 8.6%. The poor figures triggered a fresh sell-off of Portuguese bonds and analysts said it would now be cheaper for the country to borrow from the International Monetary Fund and EU, as Ireland is doing, rather than access the international markets. Ireland pays 6% interest on its seven-year loans while bond investors want to charge Portugal 9% to borrow for just five years. As a result of the Irish and Greek bailouts, EU partners have now set up the European financial stability facility (EFSF) as a long-term provider of funds for troubled members of the eurozone. “The key question is when will Portugal need to access the EFSF because it has run out of money. Portugal faces two bond redemptions, one on 15 April (€4.3bn) and one on 15 June (€4.9bn). This week, a government official said that Portugal had sufficient reserves to cover both of these. It is hard to see how this can be the case,” said Emilie Gay from the research consultants Capital Economics. However, Portugal’s finance minister, Teixeira dos Santos, said: “The government is not irresponsible and will guarantee that there is the necessary financing so the country can live up to its responsibilities and honour commitments to its creditors.” Lisbon said the change in its deficit figures was the result of an accounting change demanded by Europe’s statistics agency but bond markets feared it was an effort to deceive investors about the true picture in the past. An auction of €1.5bn of bonds has been scheduled for Friday and will be a test for the market. As a result of the announcement in Dublin, all the Irish banks are now likely to be state-owned. Two new universal banks are expected to be created from existing institutions – Bank of Ireland will remain while Allied Irish Banks and building society EBS are to be merged. “We will also ensure that they are fully recapitalised so that the world looks at these core banks with confidence and they in turn help instil confidence in our economy,” said Noonan. The extra bailout cash is within the funding from the EU/IMF support announced last year. Noonan blamed the crisis on the decision made in September 2008 by the former Fianna Fáil government to guarantee the banking sector, and particularly Anglo Irish Bank, during the international banking crisis. Ireland Ireland bailout European debt crisis Euro Currencies Europe Larry Elliott Jill Treanor guardian.co.uk
Continue reading …Irish finance minister Michael Noonan said country had been left with an ‘appalling legacy’ as a result of the banking crisis Europe’s debt crisis deepened on Thursday night as Ireland was forced into another €24bn (£21bn) rescue of its banking system and jittery financial markets pushed Portugal closer to a bailout. In a furious attack on the previous government, the Irish finance minister Michael Noonan said the country had been left with “an appalling legacy: a legacy of debt, of unemployment, of emigration, of falling living standards and of low morale” as a result of the banking crisis. After stress tests to assess the vulnerability of the banks to a drastic worsening of the economy, Noonan announced that the government would take a majority stake in all the major lenders. These are to be radically reduced in size and focused on just two players. Ireland’s banks have been crippled by the bursting of a house price and commercial property bubble, created when they took advantage of the country’s membership of the single currency to lend recklessly on low interest rates. The collapse caused an economic crisis that has seen output shrink for three years in a row. “We are now in the third year of the banking crisis. The previous government failed to act. They ducked and dived and procrastinated as they lurched from one crisis to the next. They went through periods of denial and periods of self justification. They paved the road to disaster with good intentions,” Noonan said. “They never fixed the broken banks, however.” Ireland’s central bank governor, Patrick Honohan, said the country was saddled with “one of the costliest banking crises in history”. The total bill has now reached €70bn – equal to €17,000 for each citizen. Analysts said that while Ireland’s latest bank bailout had provided the country with breathing space, time was running out for Portugal, where the government admitted that it would miss its target for deficit reduction in 2010 and revised up its budget deficit figure from 7% of GDP to 8.6%. The poor figures triggered a fresh sell-off of Portuguese bonds and analysts said it would now be cheaper for the country to borrow from the International Monetary Fund and EU, as Ireland is doing, rather than access the international markets. Ireland pays 6% interest on its seven-year loans while bond investors want to charge Portugal 9% to borrow for just five years. As a result of the Irish and Greek bailouts, EU partners have now set up the European financial stability facility (EFSF) as a long-term provider of funds for troubled members of the eurozone. “The key question is when will Portugal need to access the EFSF because it has run out of money. Portugal faces two bond redemptions, one on 15 April (€4.3bn) and one on 15 June (€4.9bn). This week, a government official said that Portugal had sufficient reserves to cover both of these. It is hard to see how this can be the case,” said Emilie Gay from the research consultants Capital Economics. However, Portugal’s finance minister, Teixeira dos Santos, said: “The government is not irresponsible and will guarantee that there is the necessary financing so the country can live up to its responsibilities and honour commitments to its creditors.” Lisbon said the change in its deficit figures was the result of an accounting change demanded by Europe’s statistics agency but bond markets feared it was an effort to deceive investors about the true picture in the past. An auction of €1.5bn of bonds has been scheduled for Friday and will be a test for the market. As a result of the announcement in Dublin, all the Irish banks are now likely to be state-owned. Two new universal banks are expected to be created from existing institutions – Bank of Ireland will remain while Allied Irish Banks and building society EBS are to be merged. “We will also ensure that they are fully recapitalised so that the world looks at these core banks with confidence and they in turn help instil confidence in our economy,” said Noonan. The extra bailout cash is within the funding from the EU/IMF support announced last year. Noonan blamed the crisis on the decision made in September 2008 by the former Fianna Fáil government to guarantee the banking sector, and particularly Anglo Irish Bank, during the international banking crisis. Ireland Ireland bailout European debt crisis Euro Currencies Europe Larry Elliott Jill Treanor guardian.co.uk
Continue reading …Irish finance minister Michael Noonan said country had been left with an ‘appalling legacy’ as a result of the banking crisis Europe’s debt crisis deepened on Thursday night as Ireland was forced into another €24bn (£21bn) rescue of its banking system and jittery financial markets pushed Portugal closer to a bailout. In a furious attack on the previous government, the Irish finance minister Michael Noonan said the country had been left with “an appalling legacy: a legacy of debt, of unemployment, of emigration, of falling living standards and of low morale” as a result of the banking crisis. After stress tests to assess the vulnerability of the banks to a drastic worsening of the economy, Noonan announced that the government would take a majority stake in all the major lenders. These are to be radically reduced in size and focused on just two players. Ireland’s banks have been crippled by the bursting of a house price and commercial property bubble, created when they took advantage of the country’s membership of the single currency to lend recklessly on low interest rates. The collapse caused an economic crisis that has seen output shrink for three years in a row. “We are now in the third year of the banking crisis. The previous government failed to act. They ducked and dived and procrastinated as they lurched from one crisis to the next. They went through periods of denial and periods of self justification. They paved the road to disaster with good intentions,” Noonan said. “They never fixed the broken banks, however.” Ireland’s central bank governor, Patrick Honohan, said the country was saddled with “one of the costliest banking crises in history”. The total bill has now reached €70bn – equal to €17,000 for each citizen. Analysts said that while Ireland’s latest bank bailout had provided the country with breathing space, time was running out for Portugal, where the government admitted that it would miss its target for deficit reduction in 2010 and revised up its budget deficit figure from 7% of GDP to 8.6%. The poor figures triggered a fresh sell-off of Portuguese bonds and analysts said it would now be cheaper for the country to borrow from the International Monetary Fund and EU, as Ireland is doing, rather than access the international markets. Ireland pays 6% interest on its seven-year loans while bond investors want to charge Portugal 9% to borrow for just five years. As a result of the Irish and Greek bailouts, EU partners have now set up the European financial stability facility (EFSF) as a long-term provider of funds for troubled members of the eurozone. “The key question is when will Portugal need to access the EFSF because it has run out of money. Portugal faces two bond redemptions, one on 15 April (€4.3bn) and one on 15 June (€4.9bn). This week, a government official said that Portugal had sufficient reserves to cover both of these. It is hard to see how this can be the case,” said Emilie Gay from the research consultants Capital Economics. However, Portugal’s finance minister, Teixeira dos Santos, said: “The government is not irresponsible and will guarantee that there is the necessary financing so the country can live up to its responsibilities and honour commitments to its creditors.” Lisbon said the change in its deficit figures was the result of an accounting change demanded by Europe’s statistics agency but bond markets feared it was an effort to deceive investors about the true picture in the past. An auction of €1.5bn of bonds has been scheduled for Friday and will be a test for the market. As a result of the announcement in Dublin, all the Irish banks are now likely to be state-owned. Two new universal banks are expected to be created from existing institutions – Bank of Ireland will remain while Allied Irish Banks and building society EBS are to be merged. “We will also ensure that they are fully recapitalised so that the world looks at these core banks with confidence and they in turn help instil confidence in our economy,” said Noonan. The extra bailout cash is within the funding from the EU/IMF support announced last year. Noonan blamed the crisis on the decision made in September 2008 by the former Fianna Fáil government to guarantee the banking sector, and particularly Anglo Irish Bank, during the international banking crisis. Ireland Ireland bailout European debt crisis Euro Currencies Europe Larry Elliott Jill Treanor guardian.co.uk
Continue reading …Irish finance minister Michael Noonan said country had been left with an ‘appalling legacy’ as a result of the banking crisis Europe’s debt crisis deepened on Thursday night as Ireland was forced into another €24bn (£21bn) rescue of its banking system and jittery financial markets pushed Portugal closer to a bailout. In a furious attack on the previous government, the Irish finance minister Michael Noonan said the country had been left with “an appalling legacy: a legacy of debt, of unemployment, of emigration, of falling living standards and of low morale” as a result of the banking crisis. After stress tests to assess the vulnerability of the banks to a drastic worsening of the economy, Noonan announced that the government would take a majority stake in all the major lenders. These are to be radically reduced in size and focused on just two players. Ireland’s banks have been crippled by the bursting of a house price and commercial property bubble, created when they took advantage of the country’s membership of the single currency to lend recklessly on low interest rates. The collapse caused an economic crisis that has seen output shrink for three years in a row. “We are now in the third year of the banking crisis. The previous government failed to act. They ducked and dived and procrastinated as they lurched from one crisis to the next. They went through periods of denial and periods of self justification. They paved the road to disaster with good intentions,” Noonan said. “They never fixed the broken banks, however.” Ireland’s central bank governor, Patrick Honohan, said the country was saddled with “one of the costliest banking crises in history”. The total bill has now reached €70bn – equal to €17,000 for each citizen. Analysts said that while Ireland’s latest bank bailout had provided the country with breathing space, time was running out for Portugal, where the government admitted that it would miss its target for deficit reduction in 2010 and revised up its budget deficit figure from 7% of GDP to 8.6%. The poor figures triggered a fresh sell-off of Portuguese bonds and analysts said it would now be cheaper for the country to borrow from the International Monetary Fund and EU, as Ireland is doing, rather than access the international markets. Ireland pays 6% interest on its seven-year loans while bond investors want to charge Portugal 9% to borrow for just five years. As a result of the Irish and Greek bailouts, EU partners have now set up the European financial stability facility (EFSF) as a long-term provider of funds for troubled members of the eurozone. “The key question is when will Portugal need to access the EFSF because it has run out of money. Portugal faces two bond redemptions, one on 15 April (€4.3bn) and one on 15 June (€4.9bn). This week, a government official said that Portugal had sufficient reserves to cover both of these. It is hard to see how this can be the case,” said Emilie Gay from the research consultants Capital Economics. However, Portugal’s finance minister, Teixeira dos Santos, said: “The government is not irresponsible and will guarantee that there is the necessary financing so the country can live up to its responsibilities and honour commitments to its creditors.” Lisbon said the change in its deficit figures was the result of an accounting change demanded by Europe’s statistics agency but bond markets feared it was an effort to deceive investors about the true picture in the past. An auction of €1.5bn of bonds has been scheduled for Friday and will be a test for the market. As a result of the announcement in Dublin, all the Irish banks are now likely to be state-owned. Two new universal banks are expected to be created from existing institutions – Bank of Ireland will remain while Allied Irish Banks and building society EBS are to be merged. “We will also ensure that they are fully recapitalised so that the world looks at these core banks with confidence and they in turn help instil confidence in our economy,” said Noonan. The extra bailout cash is within the funding from the EU/IMF support announced last year. Noonan blamed the crisis on the decision made in September 2008 by the former Fianna Fáil government to guarantee the banking sector, and particularly Anglo Irish Bank, during the international banking crisis. Ireland Ireland bailout European debt crisis Euro Currencies Europe Larry Elliott Jill Treanor guardian.co.uk
Continue reading …enlarge Credit: tildology.com Break out the smelling salts and fainting couches, the Florida Republicans are getting the vapors ! During a debate over a bill that would prohibit governments from deducting union dues out of a worker’s paycheck last week, Florida state Rep. state Rep. Scott Randolph (D) argued that Republicans seem to only be against regulations when it comes to big business. In his speech on the state House floor, Randolph even suggested that his wife could “incorporate her uterus” if it would stop the GOP from passing more restrictive abortion laws. Republican leadership scolded the Democratic congressman, telling him that talk about body parts was unwelcome. I have to say, the line about Republicans only protecting women’s rights if they incorporated their uterus is frakin’ brilliant. But being a squeamish bunch, a Republican took Randolph aside and actually pulled the “won’t someone think of the children?” excuse, telling him that the young pages and interns didn’t need to hear that kind of nasty talk. I’m sure using even clinical terms make Republicans feel uncomfortable down there . It’s a damn shame they’re not equally as squeamish making laws to put the government right into women’s uteri.
Continue reading …enlarge Credit: tildology.com Break out the smelling salts and fainting couches, the Florida Republicans are getting the vapors ! During a debate over a bill that would prohibit governments from deducting union dues out of a worker’s paycheck last week, Florida state Rep. state Rep. Scott Randolph (D) argued that Republicans seem to only be against regulations when it comes to big business. In his speech on the state House floor, Randolph even suggested that his wife could “incorporate her uterus” if it would stop the GOP from passing more restrictive abortion laws. Republican leadership scolded the Democratic congressman, telling him that talk about body parts was unwelcome. I have to say, the line about Republicans only protecting women’s rights if they incorporated their uterus is frakin’ brilliant. But being a squeamish bunch, a Republican took Randolph aside and actually pulled the “won’t someone think of the children?” excuse, telling him that the young pages and interns didn’t need to hear that kind of nasty talk. I’m sure using even clinical terms make Republicans feel uncomfortable down there . It’s a damn shame they’re not equally as squeamish making laws to put the government right into women’s uteri.
Continue reading …enlarge Credit: tildology.com Break out the smelling salts and fainting couches, the Florida Republicans are getting the vapors ! During a debate over a bill that would prohibit governments from deducting union dues out of a worker’s paycheck last week, Florida state Rep. state Rep. Scott Randolph (D) argued that Republicans seem to only be against regulations when it comes to big business. In his speech on the state House floor, Randolph even suggested that his wife could “incorporate her uterus” if it would stop the GOP from passing more restrictive abortion laws. Republican leadership scolded the Democratic congressman, telling him that talk about body parts was unwelcome. I have to say, the line about Republicans only protecting women’s rights if they incorporated their uterus is frakin’ brilliant. But being a squeamish bunch, a Republican took Randolph aside and actually pulled the “won’t someone think of the children?” excuse, telling him that the young pages and interns didn’t need to hear that kind of nasty talk. I’m sure using even clinical terms make Republicans feel uncomfortable down there . It’s a damn shame they’re not equally as squeamish making laws to put the government right into women’s uteri.
Continue reading …enlarge Credit: tildology.com Break out the smelling salts and fainting couches, the Florida Republicans are getting the vapors ! During a debate over a bill that would prohibit governments from deducting union dues out of a worker’s paycheck last week, Florida state Rep. state Rep. Scott Randolph (D) argued that Republicans seem to only be against regulations when it comes to big business. In his speech on the state House floor, Randolph even suggested that his wife could “incorporate her uterus” if it would stop the GOP from passing more restrictive abortion laws. Republican leadership scolded the Democratic congressman, telling him that talk about body parts was unwelcome. I have to say, the line about Republicans only protecting women’s rights if they incorporated their uterus is frakin’ brilliant. But being a squeamish bunch, a Republican took Randolph aside and actually pulled the “won’t someone think of the children?” excuse, telling him that the young pages and interns didn’t need to hear that kind of nasty talk. I’m sure using even clinical terms make Republicans feel uncomfortable down there . It’s a damn shame they’re not equally as squeamish making laws to put the government right into women’s uteri.
Continue reading …Exclusive: Contact with senior aide believed to be one of a number between Libyan officials and west amid signs regime may be looking for exit strategy Colonel Gaddafi’s regime has sent one of its most trusted envoys to London for confidential talks with British officials, the Guardian can reveal. Mohammed Ismail, a senior aide to Gaddafi’s son Saif al-Islam, visited London in recent days, British government sources familiar with the meeting have confirmed. The contacts with Ismail are believed to have been one of a number between Libyan officials and the west in the last fortnight, amid signs that the regime may be looking for an exit strategy. Disclosure of Ismail’s visit comes in the immediate aftermath of the defection to Britain of Moussa Koussa, Libya’s foreign minister and the country’s former external intelligence head, who has been Britain’s main conduit to the Gaddafi regime since the early 1990s. A team led by the British ambassador to Libya, Richard Northern, and MI6 officers, embarked on a lengthy debriefing of Koussa at a safe house after he flew into Farnborough airport on Wednesday night from Tunisia. Government sources said the questioning would take time because Koussa’s state of mind was “delicate” after he left his family in Libya. The Foreign Office declined “to provide a running commentary” on contacts with Ismail or other regime officials. But news of the meeting comes amid mounting speculation that Gaddafi’s sons, foremost among them Saif al-Islam, Saadi and Mutassim, are anxious to explore a way out of the crisis in Libya. “There has been increasing evidence recently that the sons want a way out,” said a western diplomatic source. Although he has little public profile in either Libya or internationally, Ismail is recognised by diplomats as being a key fixer and representative for Saif al-Islam. According to cables published by WikiLeaks, Ismail has represented the Libyan government in arms purchase negotiations and acted as an interlocutor on military and political issues. “The message that was delivered to him is that Gaddafi has to go and that there will be accountability for crimes committed at the international criminal court,” a Foreign Office spokesman told the Guardian , declining to elaborate on what else may have been discussed. Some aides working for Gaddafi’s sons, however, have made it clear that it may be necessary to sideline their father and explore exit strategies to prevent the country descending into anarchy. One idea that the sons have reportedly suggested – which the Guardian has been unable to corroborate – is that Gaddafi give up real power. Mutassim, presently the country’s national security adviser, would become president of an interim national unity government which would include the country’s opposition. It is an idea, however, unlikely to find support among the country’s rebels or the international community who are demanding Gaddafi’s removal. The revelation that contacts between Britain and a key Gaddafi loyalist had taken place came as David Cameron hailed the defection of Koussa as a sign the regime was crumbling. “It tells a compelling story of the desperation and the fear right at the very top of the crumbling and rotten Gaddafi regime,” he said. Ministers regard Koussa’s move to abandon his family as a sign of the magnitude of his decision. “Moussa Koussa is very worried about his family,” one source said. “But he did this because he felt it was the best way of bringing down Gaddafi.” Britain learned that Koussa wanted to defect when he made contact from Tunisia. He had made his way out of Libya in a convoy of cars after announcing that he was going on a diplomatic mission to visit the new government in Tunis. Britain took seriously reports last night that Ali al-Treki, Libya’s minister for Africa, had announced in Cairo that he too had abandoned the regime. Officials were checking reports last night that Tarek Khalid Ibrahim, the deputy head of mission in London, is also defecting. The prime minister insisted that no deal had been struck with Koussa and that he would not be offered immunity from prosecution. “Let me be clear, Moussa Koussa is not being granted immunity. There is no deal of that kind,” Cameron said. Within hours of his arrival in Britain, Scottish prosecutors asked to interview Koussa about the Lockerbie bombing. The Crown Office in Edinburgh has said it is formally asking for its prosecutors and detectives from Dumfries and Galloway police to question Koussa about the 1988 bombing. “We have notified the Foreign and Commonwealth Office that the Scottish prosecuting and investigating authorities wish to interview Mr Koussa in connection with the Lockerbie bombing,” it said. “The investigation into the Lockerbie bombing remains open and we will pursue all relevant lines of inquiry.” But government sources indicated that Britain does not believe that Koussa was involved in ordering the Lockerbie bombing. Koussa was at the heart of Britain’s rapprochement with Libya which started when Tripoli abandoned its support for the IRA in the early 1990s. He was instrumental in persuading Gaddafi to abandon his weapons of mass destruction programme in 2003. One source said: “Nobody is saying this guy was a saint because he was a key Gaddafi lieutenant who was kicked out of Britain in 1980 for making threats to kill Libyan dissidents. But this is the guy who persuaded Gaddafi to abandon his WMD programme. He no doubt has useful and interesting things to say about Lockerbie but it doesn’t seem he said ‘go and do it’.” William Hague, the foreign secretary, said he had a sense that Koussa was deeply unhappy with Gaddafi when they spoke on Friday. “One of the things I gathered between the lines in my telephone calls with him, although he of course had to read out the scripts of the regime, was that he was very distressed and dissatisfied by the situation there,” Hague said. Libya Middle East Arab and Middle East unrest Muammar Gaddafi Foreign policy Peter Beaumont Nicholas Watt Severin Carrell guardian.co.uk
Continue reading …Click here to view this media House Speaker John Boehner fought back tears Wednesday on the House floor as he advocated for his bill to reinstate the Washington D.C. school voucher program. D.C. parents and teachers support the program, which was ended in 2009, because “they know what it was like before,” he said. “They remember living just blocks from grade schools but feeling miles away from them. And all they did was ask us to have a chance to have the same kind of education that kids down the street were getting. There’s no controversial idea here. It’s the American way.” School vouchers are certificates issued by the government that parents can apply towards tuition at a private school. Critics claim that the program weakens the public school system.
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