Timeline - How it came to this
SEPTEMBER 2008:The Government puts in place a bank guarantee to protect Irish banks. In October this is extended to subsidiaries of foreign banks operating here.
The Government says recapitalisation is no longer appropriate to secure the viability of Anglo Irish Bank and announces its nationalisation.
Following a harsh budget, Mr Lenihan says: “We have turned a corner . . . If we work together now and share the burden, we can deliver sustainable economic growth for all.”
Government discloses that total cost of Anglo bailout will be €29.3 billion and could rise to €33 billion. Other banks bring the total to more than €50 billion.
Government proposes a four-year plan to reduce deficit by €15 billion a year.
Government announces that €6 billion in cuts and taxes will be made in the December 7th budget.
NOVEMBER 14th, 2010
Minister for Justice Dermot Ahern says reports of an imminent bailout from the IMF and the EU are “fiction”. He adds “ . . . absolutely nothing is taking place in respect of this.”
The IMF announces it has agreed to take part in a joint IMF/EU visit to Dublin.
Mr Cowen says the Government is working with “colleagues” on “euro issue problems that are affecting Ireland . . .”
The IMF holds discussions with the Department of Finance and the Central Bank. Labour leader Eamon Gilmore says Fianna Fáil has “effectively put the country into receivership”. Fine Gael leader Enda Kenny says the Government “has long since lost any shred of credibility.
Mr Cowen rejects calls for his resignation. You would expect me as leader of the Government to conduct these discussions in a way for which the best outcome for Ireland can be achieved.”
Mr Lenihan says the banking problem is too big to be solved by the Government alone. The Cabinet meets to approve formal request for assistance from the IMF and the EU.