Minister for Finance Brian Lenihan briefed the Cabinet today on Ireland’s €1.3 billion contribution to the International Monetary Fund’s rescue plan for the Greek economy.
Mr Lenihan's department is preparing legislation on the terms and conditions of the Irish element of the €110 billion emergency loans package. The drafting process has been under way for the past fortnight.
The heads of the Bill are expected to go to the Cabinet in a "number of weeks", according to a department spokesman, and are likely to go before the Dáil shortly afterwards.
Germany's cabinet yesterday approved its contribution of up to €22.4 billion to the rescue package. A law is to be fast-tracked through the German parliament this week freeing €8.4 billion this year.
Taoiseach Brian Cowen will attend a meeting of euro zone heads of government in Brussels on Friday where the Greek bailout will be discussed.
Fine Gael yesterday expressed its support for EU solidarity with Greece but called on the Government to spell out the details of the IMF plan and what it meant in the Irish context.
Party leader Enda Kenny has called for Dail statements tomorrow on the "terms and conditions" applying to Ireland's €1.3 billion contribution to the International Monetary Fund's rescue plan for Greece.
Speaking in Cavan earlier today, Mr Kenny said it was critical all countries within the European Union supported each other but insisted Irish citizens were entitled to know the detail of Ireland's contribution.
"We'll be putting in a request this afternoon that he also brief the Oireachtas and that there be statements to the Dail tomorrow as to what conditions and terms apply to the €1.3 billion that Ireland will make as a contribution to this," Mr Kenny said.
The Labour Party also expressed solidarity but demanded full accountability with regard to Ireland's role and involvement.
Labour's spokeswoman on finance Joan Burton yesterday called for a "full debate" on the Irish contribution.
"It is important that this rescue plan proceeds, otherwise Greece, and perhaps other vulnerable countries, could end up being forced out of the euro zone."
In his statement welcoming the euro zone agreement, Mr Lenihan stressed there was "strong conditionality" attached to the programme of support for Greece. Ireland's share would be "up to €1.3 billion" but the agreement "provides that the funding costs of the member states participating in the financial support package will be fully covered".
The legislation being prepared by the Government would "allow Ireland to play its part in the provision of bilateral loans to Greece as part of this agreement".
German chancellor Angela Merkel has defended her handling of the Greek crisis, saying that by holding out for fresh austerity measures from Athens, she had ensured the euro zone's €110 billion bailout would be the last.
Emphasising the need for self-help by countries with fiscal difficulties, she said: "We were very worried about Ireland last year but they made huge savings. The lesson is that savings targets have to be met, and I think this is a lesson that has been well learned."