IMF releases bailout instalment to Ireland

(WASHINGTON) - The International Monetary Fund on Wednesday released a 1.4 billion euro ($1.8 billion) loan instalment to Ireland, saying its economic program under a three-year bailout was on track.

The IMF executive board said that Ireland's implementation of reforms under its three-year rescue loan program has been "steadfast."

"Ownership of the program remains strong despite the considerable challenges the country is facing," the IMF said.

The latest release brings the IMF's total disbursements under the 2010 loan to about 18.2 billion euros ($22.8 billion).

The IMF loan was approved on December 16, 2010, as Ireland was grappling with a banking crisis. It is part of 85 billion euro financing package ($106.5 billion) supported by the European Union and bilateral loans from Britain, Sweden and Denmark, as well as Ireland's own contributions.

"Approaching the half-way mark of its EU/IMF-supported program, Ireland has once more met all program targets," said David Lipton, the IMF's deputy chief.

"This attests to the Irish authorities' steadfast policy implementation in the face of headwinds from renewed financial stress in the euro area, which has led to a significant rise in Ireland's bond spreads."