(Image Source: Daily Mail)

BY MATTHEW HIBBARD

You're watching multisource economy news analysis from Newsy.

The Irish economy isn’t looking so green these days.

The country is still dealing with a recession that started in 2007 and consumer spending hasn’t gotten better. Households are holding tighter on their disposable incomes, up 3.9 percent from two years ago. (AlJazeera)

This problem might sound similar to Greece’s economic woes, but an analyst tells Bloomberg, Ireland’s money problem lies in the banking system.

“Where there has been debt stress in a particular Euro zone member you create a ring fence, firewall, and resolve the problems from within. For Greece it was essentially a fiscal problem, public debt. For Ireland, it is a banking problem and they have to recapitalize their banks efficiently to calm the inter-bank market. That is the approach and that is the appropriate approach.”

The Irish treasury says it has more than enough spare cash to bridge the gap between spending and taxes into the next year. This small wiggle room has given Ireland the flexibility to negotiate with international organizations. A reporter for the Wall Street Journal says historically Ireland has resisted help from its neighbors.

“Turning to external help is seen as political suicide. The Irish have fierce pride for their sovereignty, long fought and hard won, and they’re very reluctant to turn that over.”

The unemployment rate for the country is close to 14 percent -- causing Irish citizens to leave the country to seek new opportunities. A nursing student tells the BBC, her luck might be better across the border.

“It’s heartbreaking having to leave my family and friends behind, my boyfriend behind. I just have to go to the UK to find a permanent job in nursing, as it is my career, and there is no job opportunities in Ireland for me.”

If Ireland’s money problem persists, analysts fear it could spread to European nations such as Portugal or Spain. Ireland's major trading partner, Britain, has pledged around $9.6 billion to the Irish economy.

Get more multisource economy news analysis from Newsy.