Straight talking on bank debt
Few topics have produced more heat and less light then the vexed question of "burning the bondholders". Yesterday no less an individual than ECB president Mario Draghi was said to be advocating imposing losses on senior bondholders, in the 'Wall Street Journal'.
The issue strikes something of a raw nerve in this country in light of the €10bn poured into the now defunct Anglo Irish Bank.
Reflecting on the status quo one analyst put it succinctly: "It would be crazy if taxpayers were on the hook for rescuing insolvent banks while creditors, no matter how senior, got off scot-free."