Dáil Éireann debate -
Thursday, 26 Mar 1998

Vol. 489 No. 2

Written Answers. - Economic and Monetary Union.

Willie Penrose

Question:

22 Mr. Penrose asked the Tánaiste and Minister for Enterprise, Trade and Employment if she has satisfied herself that preparations for the introduction of the euro in January 1999 throughout Irish commerce are sufficiently advanced to permit a smooth transition. [7685/98]

Tánaiste and Minister for Enterprise, Trade and Employment (Miss Harney)

As the Deputy will be aware, economic and monetary union is set to begin on 1 January 1999 when the conversion rates of the currencies participating in EMU will be irrevocably fixed against one another. Planning and preparation in Ireland is proceeding on the basis that Ireland will qualify for membership of EMU from the outset.

The planning and preparation process is extensive with an intent in particular to assist the business community to be ready for the changeover. In this context, it is my view, and that of the Government, that the key to a successful transition to the euro is early preparation by the business sector. This is a central message of the EMU Business Awareness Campaign which is managed by Forfás on behalf of my Department and the Department of Finance.

The issue of preparation for the euro among the small business sector has been a particular focus of the Business Awareness Campaign over recent months. A number of initiatives designed to specifically target smaller businesses have been initiated in this regard. These include: Preparation of a short user friendly brochure summarising the key issues for small business in relation to the changeover to the Euro. Over 73,000 copies of this brochure have been distributed to businesses through their representative organisations, state agencies, etc. and through special distribution with, and advertising in, magazines targeted at small firms. Relevant EMU material outlining how EMU issues should be dealt with has been distributed to over 140,000 businesses as part of a mailing with the Revenue Commissioners. An advertising campaign on the radio has alerted businesses to the advent of the euro and the need for preparations and offered businesses the opportunity to phone a dedicated euro line for information. A consultative committee has been formed comprising representatives from employer organisations, professional bodies, trade associations and state agencies to act as a forum for co-ordination, co-operation and information exchange. In addition a Retail Sector Working Group has been formed whose remit is to address and make recommendations on specific issues relating to EMU and the retail sector. An Inter-agency Co-Ordination Group has been formed in order to ensure that support to enterprises from the state agencies is fully mobilised to assist them as far as possible in their preparations for EMU.

Finally, the Government has published its own national changeover plan outlining the arrangements that will be made by Departments, the Central Bank, the NTMA and the Revenue Commissioners as well as banks, building societies and the Irish Stock Exchange. This will serve as a useful guide for businesses of all sizes and in all sectors as they prepare for the changeover.

I am satisfied therefore that Government plans are sufficiently advanced to facilitate the business community in its preparations for the changeover to the euro. Continued co-operation with and preparation by the business community will, I am sure, result in the transition to the euro proceeding successfully.