Dáil Éireann debate -
Wednesday, 27 Feb 1952

Vol. 129 No. 7

Ceisteanna—Questions. Oral Answers. - Sterling Assets.

Mr. MacBride

asked the Minister for Finance whether it is to be inferred that the following paragraph in the official statement issued in Dublin and London on the 19th February, 1952, concerning the conference which took place in London between Irish and British Ministers (a) refers to our sterling assets, and (b) constitutes a limitation as to the utilisation of Irish sterling assets in Britain, and if he will elaborate on the exact meaning of this paragraph:—

"The Irish Ministers referred to the statements of policy already made in public on behalf of the Irish Government expressing their concern at the extent of the existing deficit in the Irish balance of payments and the Government's intention to ensure that Irish external resources would, as far as possible, be used only to improve living standards permanently by promoting an increase in domestic capital development beyond that for which normal current savings would provide."

Minister for Finance (Mr. MacEntee)

The paragraph quoted by the Deputy refers to the deficit in our balance of payments and the use, to meet the deficit, of Irish external resources, which are in the main sterling assets, and to the Government's policy and intention in that regard as already publicly announced.

In the foregoing connection, I would remind the Deputy of the speech which I made in the Dáil so long ago as the 18th July last, in which I dealt exhaustively with the balance of payments problem and warned the House of the grave situation with which the country would eventually be confronted by the greatly increasing deficit thereon. In that speech I outlined categorically the measures which, in my view, were required if the position were to be retrieved. I described that position in equal detail in my speech on November 14th in the debate on the Supplies and Services Bill, 1951. The grave warnings contained in these speeches were repeated and supplemented in other statements made by the Taoiseach, the Tánaiste and myself in the Oireachtas and elsewhere. I would commend the study of these speeches to the Deputy if he desires a further elaboration of the meaning of a paragraph which, to my mind, is in its terms clear and unambiguous.

If by the terms of (b) of his question the Deputy wishes to inquire whether or not the Irish Ministers in London discussed, or agreed to any limitation on the use of our sterling assets, the answer is in the negative.

Mr. MacBride

I take it from the Minister's reply that he, in fact, redelivered all the speeches he made, to the Ministers in London?

Mr. MacEntee

Oh, no. I am not so fond of making long speeches in serious discussions as the Deputy is.

Mr. Dillon

That was a rather damp squib.