Dáil Éireann Debate, Wednesday - 17 April 2019
97. Deputy Bernard J. Durkan asked the Minister for Finance the extent to which he has identified particular or specific threats to the stability of the economy pre or post-Brexit, with particular reference to changing training conditions; and if he will make a statement on the matter. [18034/19]
View answerAs published in the Stability Programme Update for 2019, my Department provides a discussion of the risks to economy over the coming years. These are numerous and primarily external in nature.
First and foremost is the ongoing uncertainty around Brexit. Joint research by the ESRI and my Department has shown the impact that a disorderly Brexit could have for the economy. Secondly, given Ireland’s position as a small open economy with a high degree of integration in global value chains, any further disruption to trade or a slowdown in global growth would have a disproportionate impact on the Irish economy, and a stylised model based assessment of the impact of a shock to world growth is provided in the Stability Programme.
On the domestic front, the principal risks relate to potential overheating as the economy approaches full-employment, and the concentrated nature of Ireland's production base.
The best way that we can mitigate against these risks however is through prudent budgetary policy, careful management of the public finances and by focusing on competitiveness-oriented policies, and this is what this Government continues to do.
