Results 9,381-9,400 of 15,555 for speaker:Eoghan Murphy

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: So, quite soon after the new Government was formed, the Government thinking ... Government understanding on burden-sharing was that it was going to attempt it again at the end of March 2011. So what was the IMF position at the time?

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Okay, so you were in agreement with that distinction and what followed from that in terms of burden-sharing.

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Then, just to clarify two other things from your opening statement, one is in relation to the spillover risks which the-----

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: ----- thank you, Chair - which the ECB feared and you say that they were exaggerated. If you could comment just a little bit more on that, just so we can understand that because it’s quite important in understanding why we didn’t pursue burden-sharing but also, as well, you do give a figure in your opening statement of €16 billion around November 2010 but ... did the...

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: And is there a file or is there a note for that?

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Thank you, Chairman, and thank you, Mr. Buti. You are very welcome. I just want to go back, if I may, to 2008. In your opening statement you say that it is not for the Commission to judge whether ultimately the decision to issue the guarantee was a good one or not. But the Commission had to approve the guarantee for state aid purposes, so was that not a judgment being made by the...

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: You can improve something in terms of state-aid rules but you can remain neutral on the actual decision being made.

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Okay. Well, what are the judgments you make when you say the guarantee was too generous and magnified the fiscal impact of the banking crisis? You say that in your opening statement. Is that not a view or a judgment from the Commission now?

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: No, no, I have and I'm going to go through it with you, don't worry, yes.

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: But is that not the Commission making a judgment on the guarantee that it was too generous? When you say that in your statement, are you not here - as the Commission - making that judgment?

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Yes, so you criticised the Irish Government for not consulting with European partners. What do you mean by European partners, because we know that the Irish Government did consult with the ECB? So what do you mean by that?

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Okay, but were you aware that the ECB had been consulted?

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Okay. In terms of the Commission's involvement here, should the Commission not have been consulted? Do you feel that it should have been consulted beforehand, before the decision was made?

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Okay. And in terms, then, of the Commission's responsibility here ... because you say, again in your opening statement, that there were no specific guidelines in place in September but there were then in October. So, does responsibility fall on the Commission for those guidelines not being in place before the banking crisis in September? Again, given the context, the liquidity difficulties...

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Okay. Well, was your section slow in getting recommendations to the directorate general for guidelines to be in place for the kind of crisis that we saw in September, which then came in in October? Was there a delay in realising the seriousness of what was happening in the European banking system at the time?

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Thank you. Okay. You also say that - and you already mentioned it a few times - that the blanket guarantee was a major factor contributing to triggering the need for assistance from the troika. Was this understood in the Commission when the guarantee was put in place? Once the guarantee came in and that measure being put in place, did you understand that what this was going to mean two...

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Okay, so at what point did the Commission see this problem for Ireland in terms of the bank difficulties being intertwined with the sovereign difficulties, because you note as well the five fiscal corrections and consolidations that the Irish Government had to undertake, you know, from the moment of the guarantee? So at what point are you sitting in the Commission going, "Correction number...

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Okay. So when Greece entered into difficulties and was seeking a programme, were there any contacts between the IMF and the Commission in relation to who might be next for a programme? Did they come to you and say, "Look, we think there might be a problem with Ireland."? They were talking April-May 2010.

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Can you tell me about the proximity of the Commission to the ECB when it came to addressing the Irish situation? I mean, you said to Deputy McGrath that later on in the negotiations the ECB was channelling the view of the Commission. But prior to any, kind of, formal negotiations, how close are the ECB and the Commission in terms of their view of Ireland and their contacts ... their...

Committee of Inquiry into the Banking Crisis: Nexus Phase (10 Sep 2015)

Eoghan Murphy: Okay. Well, I'm talking about the relationship between the ECB and the Commission in addressing Ireland. So we have it in evidence from Mr. Cardiff that in September, when the ECB became aware of the funding cliff... the bank funding cliff, that the president of the ECB phoned the Department of Finance and spoke to the Minister and demanded that the Commission be allowed go to Ireland to...