Citigroup’s Buiter Says Irish Need Aid Concessions or PSI

Citigroup Inc. Chief Economist Willem Buiter said Ireland needs its European partners to restructure part of the country’s bank bailout bill or it may have to follow Greece’s lead in making investors take losses on its sovereign debt.

“There clearly will be a need for either some form of official concessions on the terms and conditions of its financing or PSI,” he told reporters in Dublin today, referring to private-sector losses on bonds. “Ireland’s deficit position is bad.”