Ireland has secured an euro85 billion (USD113 billion) rescue package from the European Union and International Monetary Fund.

Of the amount, IMF will contribute euro22.5 billion, the EU and bilateral European lenders will provide euro45 billion, and Irish authorities allocate euro17.5 billion, according to IMF chief Dominique Strauss-Kahn.

Some euro35 billion will be used to bolster the Irish banking sector, while the remaining euro50 billion will support government spending, BBC reports.

“We strongly support the economic program announced today by Ireland. It is a forceful response to vulnerabilities in the banking system imposing a heavy cost on the budget and, in turn, hurting the prospects for growth that Ireland needs for an enduring solution to the crisis,” Strauss-Kahn and European Union commissioner Olli Rehn said in a statement.

About the author

  • Dsc05567

    Ma. Rizza Leonzon

    As a former staff writer, Rizza focused mainly on business coverage, including key donors such as the Asian Development Bank and AusAID.