The first post on this blog of 2013 and a truly wretched opening. Twin bonds from Irish Life & Permanent, one of the several banks/building societies bailed out in our names but never with our specific consent. Each bond is for $1.75bn, a total of $3.5bn, which translates at today's rates as €2.65bn.
They are both 'guaranteed' - so what? This is still €2.65bn being bled in just one day, next Monday week, from an Irish economy already on its knees. Look through the entire dozen, they add up to nearly €5bn; this new year, 2013, the total in bonds being paid out by the Irish banks is over €17bn, and this is not taking into account the coupons being paid every year on those bonds. Bear in mind also, paying those bonds is the absolute priority of the banks; every cent of every bond, big or small, guaranteed or unguaranteed. They daren't renege because if they do, well, the whole magnificent edifice will come crashing down, won't it, bringing this whole magnificent economy with it, then the euro, then the eurozone, then the entire EU project itself, then - oh dear God, no money in the ATM, no money to pay the Guards/Nurses/Teachers, though we'd have just enough left to pay the pensions/perks/salaries of our brilliant politicians, top civil servants, top bankers, all top people if course.
Back to the twin bombs - sorry, twin bonds. Look at the date of issue, Jan 14th 2010, three years ago; ask yourself - why exactly were those bonds issued? For what purpose? My own conclusion - to pay other existing unguaranteed bonds. What else is IL&P doing with that money, lending it out to small and medium enterprises? No, I don't think so either. €69.7bn to save our banks - save them for what?
We'll keep asking the questions, keep posting the details, and keep marching in protest. Week 97 this Sunday, in Ballyhea at 11.30am, but we're building towards week 100, Jan 27th - please, if you feel as we do about this debt enslavement of the people, join us. Meanwhile Happy New Year, again and again.