Irish business hit as loan refusals soar

Irish businesses face among the highest rejection rates for loans in the eurozone, according to a new report by the Irish Central Bank published in August 2012. The report prompted critics to claim Dublin’s €64bn rescue of its banks was not benefiting the wider economy.

The report showed a quarter of applications for loans or overdrafts by small and medium sized businesses were being refused – the second highest rejection rate behind Greece, which had seen loan rejection rates surge to more than 40% as the eurozone crisis intensified.

ESO: Background information: Irish banks 'ignoring' EIB funds for SMEs http://www.europeansources.info/record/irish-banks-ignoring-eib-funds-for-smes/

Central Bank of Ireland: Economic Letter Series, Vol.2012, No.8: Irish SME credit supply and demand: comparisons across surveys and countries. http://www.centralbank.ie/publications/Documents/Economic%20letter%20no.%208,2012.pdf

Irish Times, 22.8.12: Irish banks second only to Greece for refusing loans http://www.irishtimes.com/newspaper/breaking/2012/0822/breaking1.html

Website: Irish Bankers Federation http://www.ibf.ie/

EUObserver, 29.8.12: Economic gloom poses problems for bailed-out countries http://euobserver.com/economic/117355

Irish Times, 29.8.12: European Commission cuts growth forecasts for Ireland http://www.irishtimes.com/newspaper/breaking/2012/0829/breaking31.html

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