Economic Adjustment Programme for Ireland
The Economic Adjustment Programme for Ireland, usually referred to as the Bailout programme, is a Memorandum of understanding on financial assistance to the Republic of Ireland in order to cope with the Post-2008 Irish financial crisis.
It was signed on 16 December 2010 by the Irish Government under then-Taoiseach Brian Cowen on one hand, and on the other hand by the European Commission on behalf of the Eurogroup, the European Central Bank (ECB) and the International Monetary Fund (IMF).
On 15 December 2013, Ireland exited the programme.
Contents
Memorandum of Understanding
On 28 November 2010, European Commission, European Central Bank (ECB) and the International Monetary Fund (IMF), colloquially called the European Troika, agreed with the Irish government in a three-year financial aid programme on the condition of far-reaching austerity measures to be imposed on the Irish society in order to cut government expenditure.[1]
To avoid the legislative ratification procedures required for treaties under the international law, the programme was set up as an intergovernmental agreement consisting of:
- the Memorandum of Economic and Financial Policies (MEFP),
- the Memorandum of Understanding on Specific Economic Policy Conditionality (MoU),
- and the Technical Memorandum of Understanding (TMU), the actual Loan Facility Agreement.
The agreements were signed on 16 December 2010[when?] by the Irish government and the European Commission.
Financial aid
The total amount of €85 billion would consist of €67.5 billion external support, consisting of:
- €22.5 billion from the European Financial Stabilisation Mechanism (EFSM),
- €22.5 billion from the European Financial Stability Facility (EFSF) and bilateral loans from the Euro non-member states United Kingdom, Denmark and Sweden
- €22.5 billion from the International Monetary Fund (IMF)
as well as a €17.5 billion contribution from the Irish Treasury and the National Pension Reserve Fund.[2]
See also
- Post-2008 Irish economic downturn
- Post-2008 Irish banking crisis
- First & Second Economic Adjustment Programme for Greece
- Economic Adjustment Programme for Portugal
- Economic Adjustment Programme for Cyprus
References
Literature
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External links
- Financial assistance to Ireland on the website of the European Commission
- Vague or ambiguous time from January 2015
- Eurozone crisis
- 2010s agreements
- 2010 in law
- 2010 in international relations
- 2010 documents
- 2010s economic history
- 2010s in Irish politics
- Agreements of the European Union with third countries
- Agreements of the Republic of Ireland
- Brian Cowen
- Post-2008 Irish economic downturn
