Oireachtas Joint and Select Committees

Thursday, 10 September 2015

Committee of Inquiry into the Banking Crisis

Nexus Phase

Mr. Marco Buti:

We were aware of the stance of the ECB, obviously. I mean, when we were talking about ... amongst the institutions, we were aware that the worries of the ... of the ECB in this. We were not part of ... or we were not copied in on the letters that Mr. Trichet sent at the time. I think we did not have any possibility or willingness to influence the ... the ECB at the time. I mean, what Mr. Trichet has indicated to you - not precisely in this committee - is that the exposure of the ECB was very, very large and one has to take that ... that into account. So it was an individual decision by the ... by the ECB. I think in ... I think in these matters one has to look at the ... what the real situation is and I think, deep down, independently of the letter of Mr. Trichet, the situation became so difficult. And I mentioned in my written statement that the spreads over the bonds at the time were ballooning, which made it inevitable and right to apply for a bailout.

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