andMr. Bruton asked the Minister for Finance if adherence to the European Monetary System will require any change in our laws; and, if so, how and when such change will be effected.
Written Answers. - European Monetary System.
470.
Until the detailed proposals for the new system have been settled it is not possible to indicate what changes, if any, will be required in our legislation. It seems unlikely, however, that any significant changes would be required in the early stages.
471.
andMr. Bruton asked the Minister for Finance if the resource transfers being sought by this country as a condition to our entry to the European Monetary System will be exclusively in the form of outright grants.
In our speeches in the Dáil on the motion on the proposed European Monetary System, the Minister for Economic Planning and Development and I explained—volume 308, columns 425-426 and 1045-1047—that the paper on resource transfers submitted by the Irish members of the Economic Policy Committee concluded that, in order to support our participation in the system, Ireland would need substantial additional transfers from the Community, by way of grants. For this purpose, the paper proposed a figure of £650 million spread over a five-year period. I emphasised that this figure is confined to the additional transfers in the immediate and narrow context of entry to the system—it would be over and above the transfers which we receive through the existing Community grant and loan instruments.
472.
andMr. Bruton asked the Minister for Finance if the proposed European Monetary System will be adopted as EEC legislation, and, if so, (a) when proposals relating to it have been or will be published in the official journal of the European Communities; (b) when the European Parliament will be consulted; (c) when the Economic and Social Council will be consulted; and, if not, wherein its legal basis will be.
473.
andMr. Bruton asked the Minister for Finance the title and full text of all substantive proposals he has received from (a) the European Commission; (b) the office of the Council of Ministers of the EEC; and (c) other member Governments, in relation to the proposed European Monetary System.
I propose, with the permission of the Ceann Comhairle, to take Questions Nos. 472 and 473 together.
The Commission of the European Communities has to date submitted to the Council proposals for two regulations related to the proposed system. The first, entitled a proposal for a regulation establishing a European Monetary System, would empower the European Monetary Co-operation Fund to receive monetary reserves from the member states and to issue European Currency Units against such reserves. The second regulation is a proposal to change the value of the unit of account used by the fund.
Both proposals have been sent to the European Parliament and to the Economic and Social Committee. They will shortly be published in the Journal Officiel. Further Community legislation may be necessary. This will be clarified when details of the system have been settled.
As the Deputies are aware, the outline scheme for the new system as put forward at the Bremen European Council has already been laid before the House as part of the conclusions of that Council. No other formal proposals have been received. Extensive discussions have, of course, been taking place in the expert committees and the Council of Ministers. I made a comprehensive progress report on these in my statement to the House on 17 October.
474.
andMr. Bruton asked the Minister for Finance if the proposed economic and monetary system will be open for adherence to non-members of the EEC; and, if so, on what basis.
It is envisaged that countries having close economic and financial ties with the Community could become associate members of the new system. Detailed arrangements for associate membership have not yet been settled.
475.
andMr. Bruton asked the Minister for Finance if he will give details of the full text of the proposal put forward by Ireland in relation to resource transfers in regard to the European Monetary System.
In my speech in the Dáil on 17 October on the motion on the proposed European Monetary System, I outlined—in volume 308 column 425—the position concerning the papers submitted by the Irish members of the Community's Economic Policy Committee which is undertaking the "concurrent studies" of the action needed to be taken to strengthen the economies of the less prosperous member countries in the context of the proposed system. As the proceedings of the Committee are confidential, it would not be appropriate for me to give the text of papers submitted to it. However, I would draw the Deputies' attention to the fact that the Minister for Economic Planning and Development outlined the general thinking behind our paper on resource transfers in his speech on the same motion on 24 October—in volume 308, columns 1045-1047.
476.
andMr. Bruton asked the Minister for Finance by whom, and the level at which Ireland is represented in the discussions in relation to resource transfers in the context of the European Monetary System; if nonmember countries of the EEC are represented at the discussions; under whose chairmanship and the aegis under which they are taking place; and the number and location of each meeting.
At the Community discussions of the action needed to be taken to strengthen the economies of the less prosperous member countries in the context of the proposed European Monetary System, Ireland is represented by officials at assistant secretary and principal officer level from the Departments of Finance and Economic Planning and Development.
States which are not members of the EEC are not represented at these discussions.
The discussions are taking place under the chairmanship of Mr. H. Tietmeyer, Chairman of the Community's Economic Policy Committee. They are being held by the Economic Policy Committee which has been given a mandate to report to the Council of Finance and Economic Ministers, through the Permanent Representatives Committee.
The Economic Policy Committee has thus far held five meetings to discuss "concurrent studies". There was also one meeting of a working group of the Committee. All of these meetings have taken place in Brussels.