asked the Minister for Finance if he will state (a) the manner in which schemes of capital development have been financed in the current financial year, and (b) the manner in which it is proposed that these schemes will be financed for the remainder of the current financial year.
Ceisteanna—Questions. Oral Answers. - Financing of Capital Development Schemes.
The manner in which Exchequer outlay, current and capital, has been financed is indicated in the Exchequer Statement published weekly in Iris Oifigiúil. The statement published yesterday gives the position on 9th February and shows an excess of “above the line” expenditure over revenue of £10.9 million. This excess, plus “below the line” expenditure of £21.12 million plus the increase in the Exchequer balance, was responsible for net borrowing of £34.22 million including £32.1 million on Ways and Means Advances, of which £24.5 million was from the American Loan Counterpart Fund and £7.6 million from other departmental funds. Revenue receipts to date have been far from sufficient to meet non-capital outlay and a substantial deficit on the 1951 current Budget as framed in May last is expected.
Capital expenditure for the remainder of the year will be met by borrowing on Ways and Means Advances from departmental funds.
In his use of the phrase "capital expenditure" in his answer does the Minister employ that phrase in the sense in which it was employed by the Minister for Finance in introducing the Budget of 1951 and in the sense in which it is employed in the annual segregation of heads of expenditure published in the Irish Trade Journal in the June issue?
The expression is used in the manner in which it was employed in the 1951-52 Budget Statement as given in this House by my predecessor.
Non credo.
The Deputy evidently is willing to believe that other people adopt the same tactics as himself.
asked the Minister for Finance if it is proposed to float a national loan for the purposes of financing schemes of capital development.
As soon as the financial situation has been cleared up and favourable conditions thereby created for a new loan proposals therefor will be submitted to the public.
Does that mean that it is necessary for the Minister to get the permission of the British Chancellor of the Exchequer before he can issue a loan?
It means that it is necessary for us to clear up the mess left by our predecessors.
Does the Minister not consider, if it is the intention of the Government to float a loan in the near future, that he should cease to proclaim the bankruptcy of this State?
I have not proclaimed the bankruptcy of the State but I have proclaimed the bankruptcy of our predecessor's policy.