Minister for Finance welcomes receipt of €100 million installment under the €400 bilateral loan agreement with Denmark.
The Minister for Finance, Mr. Michael Noonan, T.D., today (30th March) welcomed the first disbursement of €100 million funds from Denmark following the signature of a €400 bilateral loan agreement with Denmark on 21st March 2012 as part of the EU/IMF Programme of Support.
Minister Noonan, who is currently in Copenhagen attending the Informal meeting of European Finance Ministers as part of the Danish Presidency, stated
“I would like to thank Denmark for their participation in the EU/IMF programme of support for Ireland. The €400 million bilateral loan from Denmark represents a very significant contribution from Denmark to Ireland’s ongoing recovery. The EU/IMF programme is providing Ireland with the resources and space to make the necessary adjustment to restore confidence in Ireland and return the Irish economy to a path of sustained growth and job creation. We have introduced over 90 measures to date and we are on track to emerge from the programme and return to the markets at reasonable interest rates next year.”
Notes to Editor
The bilateral loan agreement is for a total of €400 million and will be made available to Ireland in four tranches of €100 million spread over 2012 and 2013.
The variable interest rate which will apply to this loan is 3 month Euribor or the cost of funds, plus 1 percentage point and each disbursement will mature after 7.5 years
The provision of the loan from Denmark is subject to Ireland’s continued compliance with the terms and conditions of the Programme of Financial Support agreed with the European Commission, the ECB and the IMF.
The Loan is part of the €67.5 billion Programme of Financial Support provided to Ireland by Member States of the European Union through the European Financial Stability Facility (EFSF) and the European Financial Stabilisation Mechanism; bilateral loans from the United Kingdom, Sweden and Denmark; and the International Monetary Fund’s (IMF) Extended Fund Facility (EFF).