INTERNATIONAL REACTION TO BANK FIGURES - First of all we were told it would cost €4.5 billion to deal with Anglo Irish Bank. Today's predictions bring the cost to €29.3 billion, but another €5 billion could be needed if more unexpected losses come up. All of this is sure to be a major talking point at the meeting of European finance ministers today in Brussels.
Justin Urquhart-Stewart of Seven Investment Managers in London said Ireland had been doing the right things but the markets were against it. He said more significant action was probably needed to resolve the banking problem, adding that he believed those who lent money to the banks should bear some of the costs.
Charles Forelle of the Wall Street Journal in Brussels said the numbers were enormous, particularly the figure for the budget deficit of 32% of GDP this year.
He said December's Budget would be 'extremely ugly', and there would need to be more austerity. He predicted that there would be pressure on Ireland from EU finance ministers to push through tougher budget measures next year.
Mr Forelle said international markets would be pleased by a final number, but that number was extremely large.
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CURRENCIES - On the currency markets the euro is trading at $1.3586 and 85.8p sterling.
