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Intra-eurosystem debts

Whittaker, John (2011) Intra-eurosystem debts. Working Paper. UNSPECIFIED.

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    Abstract

    Germany is a reluctant supporter of the EU funds which are being used in the ‘bailout’ of Ireland, and it insists on strict ‘austerity’ conditions, concerned about risk and moral hazard. However, through its central bank, Germany is lending €325bn (December 2010) to other central banks in the eurosystem. The Central Bank of Ireland (CBI) has borrowed €146bn from the eurosystem in order to support its banks. This ‘bailout’ of Ireland via the eurosystem is larger than its official EU ‘bailout’ (€146bn as against €67bn) and much cheaper (1% interest as against 5.8%), but it exposes Germany to similar risks.

    Item Type: Monograph (Working Paper)
    Subjects: UNSPECIFIED
    Departments: Lancaster University Management School > Economics
    ID Code: 51933
    Deposited By: ep_importer_pure
    Deposited On: 09 Dec 2011 10:13
    Refereed?: No
    Published?: Published
    Last Modified: 10 Apr 2014 02:42
    Identification Number:
    URI: http://eprints.lancs.ac.uk/id/eprint/51933

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