asked the Minister for Finance if he will state the total amount of hard currencies which are in the possession or under the control of the Government or which have been or may be controlled or secured by the Government under the Emergency Powers (Finance) Orders.
Ceisteanna—Questions. Oral Answers. - Hard Currencies and Sterling Assets.
asked the Minister for Finance if he will state if any arrangements have been sought or made with the hard currency countries to facilitate such imports as may be required by Éire from such countries.
asked the Minister for Finance if he will state if, in those cases in which arrangements have been made between Great Britain and hard currency countries permitting the use of sterling in payments of imports from such countries, sterling held by Irish nationals and residents in Éire may be used to finance imports from such countries to Éire.
asked the Minister for Finance if he will state if any inquiries have been made or arrangements sought or secured as to making available sterling assets accumulated in Great Britain for the payment of such imports from Great Britain or the sterling area as this country may require as and when such imports are required.
I propose to reply to questions Nos. 16, 17, 18 and 19 together.
The balance of payments between this country and the hard currency countries has always been heavily against us, and the amount of hard currencies which it has been possible to accumulate or which could be acquired from Irish residents under emergency finance legislation is extremely limited. Even including the capital element, the amount available would finance our imports from the hard currency countries for a short period only. All currencies as they are acquired are placed to the credit of the Foreign Exchange Account set up pursuant to Section 49 of the Finance Act, 1941. As the Deputy is aware, the section provides for the annual examination of the account by the Comptroller and Auditor-General and for the publication of a final statement when the account is being wound up. Initial purchases for the account were financed by advances from the Central Fund and subsequent purchases by further advances in so far as the proceeds of sales, for essential purposes, of currencies already held were insufficient. The amount of such advances now outstanding is £2,661,000. It is not possible to make any reliable estimate of the amount of any particular currency which it may be possible to acquire from Irish residents in the future.
Negotiations have not been entered into recently with any country in regard to currency matters. For some time to come, at any rate, the amount of goods which can be imported into this country will be limited not so much by currency considerations as by scarcity of supplies abroad and by lack of transport facilities.
There is complete freedom of movement of sterling funds within the sterling area so that accumulations in Great Britain of sterling assets of Irish residents are available to finance the imports from any part of that area. Consequently, it is assumed that as goods in the greater part of the sterling area become available for export or re-export this country will get its share.
The general position is under constant review and every effort is being made to mitigate the disabilities arising from the scarcity of certain foreign currencies.
Will the Minister be kind enough to tell us what is a hard currency?
It is a generally acceptable one, belonging to those countries which allow their currency to flow fairly freely around—America, Canada, Argentina, Switzerland, Portugal. I think that is all.
Thank you.