Economic Recovery

Dáil Éireann Debate, Wednesday - 1 February 2012

Wednesday, 1 February 2012

Ceisteanna (28)

Bernard J. Durkan

Ceist:

28 Deputy Bernard J. Durkan asked the Minister for Finance the degree to which he and his European colleagues can individually and collectively generate positive economic influence towards economic recovery throughout Europe; if particular issues have been identified as being fundamental to such an objective; if there has been any agreement as to the extent to which the smaller countries, both within the eurozone and without, can in co-operation with their larger counterparts and without detriment to each other’s interest, maximise political, social and economic impact for the benefit of all; and if he will make a statement on the matter. [5521/12]

Freagraí scríofa

Minister for Finance (Deputy Michael Noonan)

Appropriate policy responses can and will have positive influences in terms of supporting economic recovery in Europe. First and foremost, it is clear that resolving the euro area sovereign debt crisis is a prerequisite for a return to sustainable growth, both in the euro area and the wider EU. In this regard, we are now seeing concerted action to address the weaknesses that have become evident in the design of monetary union, including through the so-called ‘six-pack' of legislative reforms as well as the agreement on a ‘fiscal compact' to ensure fiscal discipline in participating Member States.

Another key policy response is the establishment of financial stabilisation mechanisms to support Member States whose access to private capital markets is constrained and to help avoid difficulties in one Member State spreading to other euro area Members States.

It is also worthwhile to point out that EU leaders on 30 January committed to further efforts to promote growth and employment in the Union, including through a better targeting of available EU funds and further steps to complete the Single Market.

All of these various commitments that Member States have entered into apply irrespective of the size of a country and it is essential that all within Europe play their part to maximize the benefits for all of our citizens.