Debt-hit Ireland faces toughest budget in history

DUBLIN: Debt-struck Ireland is awaiting the painful details of the toughest budget in its history, a condition for receiving a massive international bailout.

Finance Minister Brian Lenihan's 2011 budget is being unveiled and voted on Tuesday night in parliament as protesters gather in the snow and ice outside.

Lenihan says the plan _ the fourth emergency budget in just three years for Ireland _ will cut spending by euro4.5 billion ($6 billion) and raise taxes by euro1.5 billion ($2 billion). Low-paid workers will be drawn into the income-tax net, the minimum wage will fall, and welfare benefits will be trimmed.

Analysts expect parliament to approve the budget. Donors say passage is essential for Ireland to begin borrowing from a new euro67.5 billion ($90 billion) EU-IMF fund.