What does Ireland have that Greece does not? Aside, of course, from rain and good beer. That is the question many western governments might do well to ask themselves, particularly in places such as London, Lisbon and Madrid.

In recent days Europe has been convulsed by the fiscal woes gripping Greece. But while Athens burns, there is an equally fascinating tale on the other side of Europe which has got less attention: namely the fact that Ireland has not been convulsed by political and fiscal disarray.

After all, this time last year there was widespread speculation in the capital markets that Ireland would be one of the first of Europe’s more indebted nations to suffer fiscal shock. Its banks were a mess. It had just experienced a crazy property boom and bust. It was piling up public sector debt.