The National Solidarity Bond

They’re fupped, so are we, if we if we give them any more money XX

I can see many Cannys with ABS (AskBurgess Syndrome) piling into this.

I’m completely shocked that FF didn’t think about creating a SSIA 2.0. For example, money deposited into Irish banks would be topped up 35% after 10 years. The banks increase their deposit-base allowing them to loan a multiple of the deposits back to the government via purchasing govt bonds. Everybody wins XD .

Coming soon to a public sector pay packet near you…

I don’t doubt it, but it’s a really bad idea, even if you will be able to swap them for mortgage payments. It has been a suspicion I’ve had for a while that some public spending would soon come in the form of lenny pennies - that rather than leave the euro, the state would operate a dual currency system - internal soft money and external hard. I hadn’t really expected that the internal soft money would be unusable for ten years, though!

So essentially this is exactly like the government buying a bunch of stuff with a credit card and only making the minimum payment for 10 years. … hanks.html

Buy War Bonds!

Personally, I preferred Donald Duck’s “Pay your taxes to beat the axis!” Spirit of '43.

Blue Horseshoe

My problems with this have been touched on already, the money will be coming from either deposit accounts (if the savings rate is so high then why do banks have cap trouble?) or from net income at the expense of consumption.

Also as Geckko notes they’re deposit accounts, not bonds.

Clearly aimed at retail investors, just how much do they expect to raise (esp relative to other issuances)?

Todays Indo … 60999.html

THE new national solidarity bond is designed to be cheap funding for the Government, and will only benefit investors who keep their money in it for the full 10-year term, analysts said yesterday.

This is being very heavily advertised at the moment.

This is the NTMA brochure

where the figures, according to AAM are incorrect -

A question that hasn’t been answered is what happens to the promise to pay out if the IMF comes in. Which I think is one worth having an answer to.

Every time I see the title of this thread a number of things come to mind. Dev selling worthless Irish Press Shares to guillible yanks… Ronald Reagan ‘dong his bit’ selling War Bonds and George W. Bush’s career in Savings & Loans… :mrgreen:

quick question…
This could be categorised as the state borrowing money off its citizens. The state, as we know, has heaps of borrowings from other sources also. Some of this debt must be repaid before other debt ie some debtors have priority over other debtors, through different bond redemption dates if nothing else,

What happens if there is a debt problem in the future? Where will the irish citizens be? first on the list? Last on the list (get nothing) or somewhere in the middle?

Countries and people always will default on debts that have worst security and which can be ignored with smallest penalty. When my country defaulted it stopped paying interest on loans from other governments, as they were very unlikely to take issue to courts and seize state property abroad.

From the good folks at the Sunday Business Post:

A fairly meagre amount, but since June 11 there’s been a lot of advertising so maybe it’s increased. I’m not sure about the ad’s claim that “it’s 100% secure”. Sovereign debt investors seem to take a different view.

I wonder where did the 47 million get withdrawn from? Perhaps the banks or maybe An Post are canibalising their own customer base. If it’s mostly coming from An Post, the government have probably managed to increase the cost of those funds.

Before the yields were announced that was always my problem with the scheme, this wouldn’t be new money coming from under the billion dollar mattress. Sure anyway, how long would it take to burn through 47m, a few hours?

This is money that would otherwise be in the banks thus aiding with their recapitalisation. So the money the government raises through this will go to service their debt and possibly into the banks anyway.

Talk about cutting off your nose to spite your face.

Ah, I missed this post. That’s what I’m wondering too.

47million by 1,800 is just over 26,000 average, that’s a heafty number IMO and would suggest to me a few wealthies parking sizeable ammounts

It would suggest to me a government agency is putting in a large amount to inflate the figures, as 26k average is huge! Is there really that many thicks out there with 26k they can afford to kiss goodbye to for 10 years? Doubtful.

Should be renamed: The National SoldaPuppy Bond