It's going to be a busy day, but opinion among informed commentators suggests the 85billion 'bailout' isn't enough, and if it were, the Irish state couldn't service the debt at any interest rate in any case. Karl Whelan and Irish Economy regular Tull work the likely interest rate on the bailout at 7%. In my view, such an interest should be refused immediately, probably with the liberal addition of profanities. Others view 7% as a fiction, and suggest 5% as a floor. We'll know soon enough.
Martin Wolf at the FT suggests that "Ireland...should surely convert unsecured bank debt into equity rather than force its citizens to bail out all the improvident lenders"
Paul Krugman thinks we might be solving the wrong problem: liquidity instead of insolvency. "What would Ireland (and Greece, and Portugal, and …) need if the problem is not essentially one of confidence and liquidity? Actual debt relief. Yet that is not on the table."