The ultimate solution to Ireland's National Debt Crisis

Following on from my post about fixing the Greek debt crisis, here are the numbers for Ireland.

Ireland's national debt currently stands at around €123 billion, that's €26,822 per citizen.

To generate that sum using fractional reserve banking, a bank would need to have 8.6967% of that sum, namely €10.7 billion.

So, suppose we set up a bank with a special "Irish National Debt Cancellation" account. People could pay money into the account, and when the sum of €10.7 billion is reached, the account is frozen, the bank creates €10.7 billion out of thin air, lends the money to the Irish government, and the entire national debt is paid off. The loan would have very favorable terms under which the government would have to pay the money back after 1000 years with 0.000% interest.

On average, each Irish citizen would have to pay €2,332 into the account to activate the mechanism.

In 2011, Irish  taxpayers paid £5.25 billion in interest charges to the banking sector. It follows that the €10.7 billion needed to finance the scheme would be paid off in around 2 years.