Bulgaria FinMin Lets the Cat Out of the Bag over Irish Bail-Out

"I expect a bailout decision to be taken within a week," Simeon Djankov said at a small briefing following a meeting of EU finance ministers. Photo by Sofia Photo Agency

Eurozone finance ministers will come up with a deal on a bailout package for Ireland next week, Bulgaria's finance minister surprisingly announced even though the cash-strapped country has shied away from asking for help.

"I expect a bailout decision to be taken within a week," Simeon Djankov said at a small briefing following a meeting of EU finance ministers, as cited by EUobserver.

His answer came in response to a journalist's question about the European Commission, European Central Bank and the International Monetary Fund's upcoming mission to Dublin.

According to Djankov the broader meeting of the EU's 27 finance ministers on Wednesday morning "was almost completely about this subject."

Speculation has been mounting all week as to whether Ireland would accept emergency funding.

Patrick Honohan, member of the European Central Bank's governing council and governor of the Central Bank of Ireland, said Thursday that a loan of "tens of billions" of euros will be made to Ireland by its European Union counterparts.

"The intention is and the expectation is on their part, and personally on my part, that negotiations or discussions will be effective and a loan will be made available and drawn down as necessary," Honohan said, speaking in an interview on Irish state broadcaster RTE Radio.

The Irish government has not yet issued an official statement, but officials are due to arrive in the country later for further discussions about the debt crisis and its beleaguered banking sector.

FULL text of EUobserver article READ HERE

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