Irish Taoiseach Biffo Cowen is getting close to the edge. At a radio interview this morning, it is alleged he sounded hungover and disinterested, as he declared that Ireland will have to undergo further cuts of 3 billion Euros. The crisis, although he denies it, is starting to overwhelm him and his europhile buddies, as the anger felt by ordinary Irish people wells up and focuses in on them.
Mr Cowen was interviewed by RTÉ’s Morning Ireland at 8.50am in the Ardilaun Hotel.
It must be tough being the leader of a country which has become insolvent. Cowen is trying to rescue the situation, and the ECB is buying Irish bonds to help bail him out, but the cost of borrowing is rising every month. Which will break first? The Taoiseach or the economy? Both together, more like.
The FT writes –
The FT reports that evidence is growing that “addiction” by banks in eurozone countries such as Portugal, Ireland and Greece to European Central Bank liquidity support remains high, and may even have increased. The ECB bought €237 million of government bonds last week – the biggest amount since the middle of August – in a sign of continuing problems in the eurozone.
How soon before the cantagion spreads and the ECB is funding Spain and Italy, as if it wasn’t already on the QT.