The Tanaiste says talks on renegotiating the payment of the Anglo Irish Bank promissory notes are at a critical stage.

The government is due to pay another €3.1 billion installment by the end of the March unless a deal is reached with the European Central Bank (ECB).

Eamon Gilmore says indications last night that Ireland will be allowed extend the repayment schedule on loans it received from the European Financial Stability Facility (EFSF) is a welcome development.

Eurozone Finance Ministers are to consider whether to extend the repayment schedule of part of Irish bailout loans.

It relates to the cash given to the country from the EFSF.

Officials to work on technical details

In a statement after a Eurogroup meeting in Brussels yesterday Finance Michael Noonan said while there was no final decision on the move there had been no objection to it at the talks.

Officials will now get to work on the technical details and report back shortly.

If it gets the green light the plan could save the country billions of Euro in the cost of our bailout programme.

However Tanaiste Gilmore has said time is running out.