- Finance Dublin Corporate Banking & Treasury 2011

Corporate Banking & Treasury 2011

Corporate Banking in Ireland - the issues and solutions, according to Ireland's top CFOs

Irish banks are not greatly different from other European banks, both being strapped for credit, but being based in Ireland does carry a sovereign risk issue, thanks to the country’s downgrading from its erstwhile AAA status, companies report in a Finance Dublin survey conducted in November 2011. They are also makihng contingency plans for a break-up of the euro.

Corporate banking strategies for CFOs in 2012
JOHN FINN of Treasury Solutions Ltd analyses the current treasury landscape and looks ahead at the emerging issues in 2012. He thinks 5-year credit facilities will become scarcer in 2012 and advises corporates, if refinancing in 2012 or 2013, to start early in 2012 & to be wary of covenants and special conditions attaching to credits.

Eurozone crisis: treasury strategies for Irish corporates in 2012
The political commitment of Paris and Berlin to the euro makes the dissolution of the euro an unlikely outcome of the eurozone crisis writes CIARAN KANE. For 2012, longer term interest rates will remain close to record lows against the background of subdued inflation he says, and muted eurozone growth over the next five years will present both challenges and opportunities for treasurers.

A three step contingency plan for a break up of the euro
The responsible thing for every corporate and financial institution is to devise a contingency plan for the real possibility of an ending of the eurozone as we know it, with an even higher possibility/likelihood of Ireland leaving the arrangement, to go back to the Irish pound, with a new exchange rate arrangement in 2012. To help companies and CFOs towards better corporate governance in mitigating currency risk, we set out a three step strategy to review the implications.