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Enda Kenny says the Irish people need to be consulted on the fiscal treaty (Photo: Council of European Union)

Ireland to hold referendum on fiscal compact

In a surprise move, the Irish government on Tuesday (28 February) decided to hold a referendum on the new intergovernmental treaty on fiscal discipline demanded by Germany for future eurozone bail-outs.

"The Irish people will be asked for their authorisation in a referendum to ratify the European stability treaty," Prime Minister Enda Kenny told parliament in an unplanned intervention.

His announcement came after a legal opinion by the country's attorney general which was largely...

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