DUBLIN (Reuters) - Europe may offer Ireland concessions on its bailout if weak economic growth prevents Dublin from meeting its targets under an EU-IMF bailout, central bank governor Patrick Honohan said on Thursday.
“If our economy goes well, if we get back to growth, get to full employment, then we can pay this easily. If economic growth is weak, then it won’t be so easy,” Honohan said in an interview on a local television station.
“So I think the arrangements with our European partners could over time be restructured in such a way that we give them a bigger share of our prosperity and our growth and on the other side if things don’t go well that we would have deferrals and a longer period of time.”
Ireland on Thursday put a 70 billion-euro price on protecting its banks from future shocks and promised a radical overhaul of the sector, trying to persuade investors it has the nation’s financial crisis under control.
Reporting by Carmel Crimmins; Editing by Steve Orlofsky