Irish MEPs to question Draghi about ECB role in crisis

European Central Bank president Mario Draghi is to be questioned by Irish MEPs about the institution’s role in the banking crisis at a European Parliament committee meeting in two weeks’ time.

Ireland’s 11 MEPs have been informed that Mr Draghi will address the committee in Brussels on November 12th

It is understood Mr Draghi will discuss the ECB’s role in the design of the bailout programmes in the countries that received them during the financial crisis.

Ajai Chopra, the International Monetary Fund official, who was centrally involved in the Irish bailout, and UCD economist Karl Whelan will also address the committee.

The appearance by Mr Draghi at the parliament follows the refusal of the ECB to participate in the Irish banking inquiry, which is due to report early next year.

Informal exchange of views

ECB vice-president Vítor Constâncio had offered to attend an “informal exchange of views” with the inquiry, and had been expected to appear before an Oireachtas committee. The ECB withdrew that offer in September, however. It argued that the “clear separation” between an exchange of views and the inquiry “could not be guaranteed”, citing comments made by committee chairman Ciarán Lynch at the appearance of former ECB president Jean-Claude Trichet at an event hosted by the Institute of International and European Affairs.

Last December, MEP Marian Harkin wrote to Mr Draghi on behalf of Ireland’s 11 MEPs requesting the ECB president to engage with the banking inquiry.

Brian Hayes, a member of Econ, the parliament’s committee on economic and monetary affairs, said Mr Draghi’s appearance next month would be a valuable opportunity to question the ECB president on the role of the central bank in the Irish bailout.

“What we are interested in is hard facts. Given that the ECB have consistently said they are accountable to the European Parliament and not to national parliaments, I would expect full disclosure in front of the Econ committee.”

It is understood Irish MEPs will probe Mr Draghi on the role of the ECB in the days leading up to the bailout, and its position regarding burden-sharing for senior bondholders.