Fianna Fáil Finance Spokesperson Michael McGrath TD has called on the Taoiseach to spell out what contacts he has had with other leaders and the ECB on the Cyprus crisis.
He noted the assurances in today’s media that the raid on deposits planned for Cyprus would not be imposed in Ireland should the banks require more capital, but asked what conversations these reassurances are being based on and whether European authorities have specifically ruled out the Cyprus template being applied elsewhere.
Deputy McGrath commented: “The proposed raid on the personal savings of ordinary Cypriots is a sinister development, and is causing anxiety across Europe today. It seriously undermined any sense of solidarity by Europe towards a member state in difficulty.
“Despite having originally praised the deal, the Government has now moved quickly to offer reassurances to the Irish people in today’s media that there is no question of our savings being targeted. However, for the reassurances to be real, it is important that the Irish people know who the Taoiseach has spoken to and whether there has been a specific assurance that this proposed template will not be applied to Ireland if our banks require further recapitalisation.
“The proposals for Cyprus raise many important questions around the feasibility of a banking union and the attitude of the European authorities to countries facing difficulties. In that context, it is important that the attitude of our own Government is properly tested. Unfortunately, the Government has already shown a willingness to target personal resources through its €1.8 billion raid on people’s pension savings.
“The Taoiseach needs to move quickly to spell out exactly what he has done to back up the headlines telling us that there is no problem. Public confidence requires it.”