Irish FinMin Noonan has been trying desperately to get the same deal from the EU that Spain has gotten, a deal which cuts the sovereign out of the bank recapitalization game. Ireland too suffered a property bubble/banking collapse and stepped in to guarantee the banks forcing a very heavy debt burden onto the sovereign.
With the EU having learned the lesson that ladling debt onto the sovereign, Ireland wants the same deal as Spain. We’ll see if they get it. Indications are that they will, eventually.
