andMr. P. Barry asked the Minister for Finance the amount of aid Ireland has received under the Special Fund established in connection with the European Monetary System; the manner in which the aid received from this fund is distinguished from aid received from the Regional Fund and the European Investment Bank; the Government policy for availing itself of each of those funds; and his plans for applications to each in 1981.
Written Answers. - Aid from EMS Fund.
56.
It was decided by the European Council that for a five year period Ireland should receive 67 million European Units of Account—about £45 million—in interest subsidies each year on loans from the European Investment Bank and the new financing facility. These subsidies represent the equivalent of interest at 3 per cent per annum over the life of each subsidised loan and are payable in capitalised from to the Exchequer at the time of the grant of the corresponding loan. In 1979 the amount received was £44.4 million. To date in 1980, £22.1 million has been received and a further £7 million is due in respect of other subsidised loans signed recently. The European Monetary System moneys are disposed of in accordance with the EEC Council Regulation on in terest subsidies for loans granted under the EMS. These subsidies are available for the general purposes of the Exchequer. The regional fund moneys are governed by the regional fund regulations and are in the form of capital grants for specific projects. European Investment Bank assistance is in the form of loan capital for specific projects and, unlike EMS and regional fund moneys is repavable with interest.
It is the Government's policy to avail of the full EMS moneys each year and as a minimum to borrow from the EIB such amounts as will be necessary to ensure this. As regards the regional fund, it is the intention to continue to submit to the Commission each year sufficient projects to ensure that our full entitlement is received as early as possible. Plans for 1981 cannot be finalised until the Government has settled next year's Public Capital Programme.