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IMF backs bid to restructure Anglo's debt warning: Enda Kenny

THE International Monetary Fund (IMF) has backed Ireland's bid to get a restructuring of Anglo Irish Bank's debt.

In its latest report on the Government's implementation of our bailout conditions, the IMF praised our performance so far.

And it urged the European Commission and the ECB to look to restructuring our promissory notes -- the pledges we've made to repay our debt.

The organisation stated that a restructuring of the debt would make it easier for Ireland to return to the markets for funding next year.


"The IMF is encouraging European authorities to proactively take steps to reinforce the prospects for Ireland having adequate market access in 2013," according to the IMF's Craig Beaumont.

"Such steps could help Ireland avoid ongoing reliance on official funding and would also contribute to overall European economic stability," he added.

The report is being viewed as a major boost and will provide extra ammo to the Government's bid to restructure its multi-billion euro banking debt.

Meanwhile, Enda Kenny has been accused of "scaremongering" after warning that the upcoming referendum is a vote on whether the Irish people want to be "members of Europe".

The Taoiseach made the comments just hours after penning Ireland's name to the new 'Fiscal Compact' Treaty in Brussels.

Speaking in Irish, Mr Kenny said that the question to be put before the people in the referendum will be simply whether we are in or out of the eurozone.

"The public will be focusing on the question which will be on the ballot paper -- do they wish to be members of Europe, the euro and the eurozone from now on, or do they wish not to be?" he said.

"When I look at the opportunities that lie ahead here, taking all these things into account, it's my view that they will give a very strong endorsement for a yes vote" he added.

The comments seem to suggest that the wording of the treaty has already been devised -- a notion rejected by a Government spokesperson today.

"It's far too early to be talking about the wording of the ballot paper," they told the Herald.


The Government has yet to announce the date of the referendum but coalition sources have indicated that it is likely to be held in late May or early June.

A total of 25 European member states signed the treaty yesterday -- which will come into effect from January of next year.

Britain and the Czech Republic refused to join their European partners in signing up.