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Europe postpones plans to raise €3bn for Ireland

THE EUROPEAN Financial Stability Facility (EFSF), or bailout fund, has postponed a plan to sell €3bn worth of Irish Government bonds.

A spokesman for the Luxembourg-based European Financial Stability Facility confirmed to RTE that the delay was due to "market conditions" – or the financial turmoil triggered by the Greek referendum fiasco.

He would not be drawn on when the bonds would be sold but said it would be "not too long."

The postponed sale of Government bonds was due to be the first since the EFSF secured additional powers from EU leaders in July, which were then ratified by eurozone parliaments.

It is understood the EFSF will attempt to reschedule the bond auction for two week's time.

Earlier Minister for Finance Michael Noonan said Ireland had to distance itself from the situation in Greece as we have more in common with northern European economies.

Minister Noonan said the Greek decision to hold a referendum on the bailout had been unexpected, but said the possibility of bringing the referendum forward to December may be hopeful news.

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