| 21°C Dublin

Anger as Anglo pays back $1bn to unguaranteed bondholders

ANGLO Irish Bank will repay the $1bn (€718m) to senior unguaranteed bondholders next week using emergency loans from the Central Bank.

Anglo, now called Irish Bank Resolution Corporation (IBRC), will also use the proceeds of the sale of its US loans, and loans maturing at the bank.

The Government has been criticised for pushing ahead with the full repayment of the senior bond.

The bank has a further €2.7bn of senior unguaranteed unsecured bonds maturing next year, including a €1.25bn repayment falling due on January 25.

Earlier this month, Fianna Fail's Micheal Martin attacked Taoiseach Enda Kenny for apparently failing to secure any concessions on the bill for bailing out Ireland's banks.

The upcoming repayment will be made even though the Government's bank guarantee does not oblige it to cover those prices.

The Opposition accused the Government of prioritising the European debt crisis over Ireland's own affairs, saying Greece was being allowed to default on a massive portion of its loans while we were not getting any such provision.