Debt zombies protest outside Irish embassy
The term ‘zombie bank’ describes banks which should technically have ‘died’, but have survived by feeding off bail-outs from government - draining the life out of public services.
The Irish government is preparing to pay the latest instalment on the debts run up by the ‘zombie’ bank Anglo Irish.
Debt Justice Action in Ireland is calling for an immediate halt to payments of the debt, which was taken on by the Irish government in 2008.
Debt Justice Action argues that the debts of this now state-owned institution are not the responsibility of ordinary people in Ireland. They say a halt in payments must be the first step towards a more general renegotiation and write down of the country’s unsustainable and unjust debt, and that such a suspension would not have a contagion effect on Europe’s finances because most bond-holders have already been paid out.
Jubilee Debt Campaign, is calling for a ‘jubilee-style’ debt cancellation in Europe, to ensure the people of Ireland and other European countries, are not stuck in a decades-long debt trap of austerity and economic contraction.
Nessa Ní Chasaide, of Debt and Development Coalition Ireland, said: “The unanimous message of campaigners in Africa, Asia and Latin America is that ruining whole societies to repay illegitimate debts is wrong and unworkable – a solution must be based on cancellation of illegitimate debts that ensure lenders are held accountable for their mistakes, rather than sacrificing people’s rights to fear of financial markets”.