MyHome.ie Blog
  • MyHome Living
  • News
  • RetroFit Hub
  • Buyers Advice Hub
  • Selling
  • Renting
  • Mortgages
  • Property Report
MyHome.ie Blog
  • MyHome Living
  • News
  • RetroFit Hub
  • Buyers Advice Hub
  • Selling
  • Renting
    • Mortgage Learning Center
    • Calculators
    • Best Mortgage Table
  • Property Report
    • All Properties
    • Houses For Sale
    • Apartments For Sale
    • Available To View
    • Overseas Holiday Homes
      • Properties For Auction
      • Upcoming Auctions
      • BER Assessors
      • Property Conveyancing Solicitors
      • Pre-Purchase Surveyors
    • Find Agents
    • All Properties
    • Houses To Rent
    • Apartments To Rent
    • Available To View
    • Share
      • Irish Holiday Homes
      • Overseas Holiday Homes
  • New Homes
    • For Sale
    • To Rent
    • Auction
      • Residential Land
      • Commercial Land
      • Farm Land
      • Farms
      • Sites
    • MyHome Living
    • Buyer Advice Hub
    • Property Report
    • Property Price Register
    • Price Changes
  • Mortgages
    • Rental
    • Holiday Homes
    • Commercial
    • Sharing
Advertisement
  • Home
  • Uncategorized
  • Honohan calls for banks to be recapitalised directly
Uncategorized
May 9, 2012 - 09:56

Honohan calls for banks to be recapitalised directly

The MyHome Newsdesk
By The MyHome Newsdesk
Share this article
Facebook Share Twitter Share Linkedin Share Email Share Whatsapp Share
Honohan calls for banks to be recapitalised directly

The Central Bank Governor said last night that not allowing temporary or permanent bail-out funds to directly recapitalise banks directly is a "missed opportunity".

Patrick Honohan, a member of the European Central Bank’s governing council, said that injections from the European funding mechanisms to governments inflated their debt, which in turn led to concerns amongst rating agencies.

"Using pooled European funding mechanisms directly as a means of recapitalising weak banks and acting as a backstop for future problems is an obvious way of pooling risk and breaking the sovereign-bank linkage," Professor Honohan said in a speech in London.

Euro zone officials knocked back press speculation that the European Central Bank and a group of euro zone countries were working on a possible initiative to enable crisis-stricken banks to have direct access to Europe's permanent bailout fund.

Advertisement

The discussion stems from market concerns about the banking sector in Spain, where a sharp drop in property prices and a recession have triggered investor expectations that Spanish banks may need more money than previously thought to recapitalise.

EU Economic and Monetary Affairs Commissioner Olli Rehn told Reuters in an interview last month that there were no plans to use the permanent European Stability Mechanism (ESM) or the temporary European Financial Stability Facility (EFSF) to lend to recapitalise Spanish banks.

Professor Honohan also highlighted the need for a European-level resolution agency to cover bondholders' claims in bank resolutions among members states.

Subscribe to our weekly MyHome Living eZine today

Processing your request...

You are subscribed now!

<

  • Tags
  • bail-out funds
  • bailout fund
  • banking sector
  • banks
  • bondholders
  • Central Bank governor
  • debt
  • EFSF
  • ESM
  • EU Economic and Monetary Affairs Commissioner
  • euro zone
  • European Central Bank
  • European Financial Stability Facility
  • European funding mechanisms
  • European Stability Mechanism
  • governing council
  • governments
  • inflated
  • investor
  • London
  • Olli Rehn
  • Patrick Honohan
  • permanent
  • property prices
  • rating agencies
  • recession
  • Reuters
  • Spain
  • temporary
The MyHome Newsdesk
By The MyHome Newsdesk
Share this article
Facebook Share Twitter Share Linkedin Share Email Share Whatsapp Share

Helpful Links

Find your home on MyHome
Read more Articles
Calculate what you can afford to borrow
Welcome to the Retrofit Hub
Advertisement
Advertisement

Related News

What is a Heat Pump?
Uncategorized

What is a Heat Pump?

Feb 27, 2025
Living Cities Initiative
Uncategorized

Living Cities Initiative

Jan 14, 2025
Digital Services Act
Uncategorized

Digital Services Act

Mar 31, 2024
Avant Money and Finance Ireland announce new rates
Uncategorized

Avant Money and Finance Ireland announce new rates

Dec 09, 2021
Average deposit of first-time buyer was €52,000 in first half of the year
Uncategorized

Average deposit of first-time buyer was €52,000 in first half of the year

Dec 07, 2021
Frequent And Popular Searches
MyHome.ie Blog
Help
Jobs
About
Equality Guidelines
Brand Safety
Contact
Terms & Conditions
Cookie Policy
Privacy Policy
Digital Services Act
Sitemap
© Copyright MyHome.ie 2025
Advertisement