Blog Post

Banks over cautious on lending as private equity firms loom

Alan Ahearne believes that the greatest danger facing the Irish economy at the moment is having troubled banks slash lending to businesses and households. He therefore calls for a large injection of fresh capital into banks to stave off rapid deleveraging. But actions that the Irish Government needs to take to rescue the economy from […]

By: Date: November 26, 2008 Topic: European Macroeconomics & Governance

Alan Ahearne believes that the greatest danger facing the Irish economy at the moment is having troubled banks slash lending to businesses and households. He therefore calls for a large injection of fresh capital into banks to stave off rapid deleveraging. But actions that the Irish Government needs to take to rescue the economy from a devastating credit crunch may well frighten off private equity. So be it, says Alan Ahearne.

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This comment was also published in The Irish Times.


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