Joe McHugh
Ceist:9. Deputy Joe McHugh asked the Minister for Public Expenditure and Reform if he will provide an update on his engagements with the troika; and if he will make a statement on the matter. [42301/13]
Amharc ar fhreagraWednesday, 9 October 2013
Ceisteanna (9)
Freagraí ó Béal (3 píosaí cainte)
As the Deputy will be aware Ireland is in the final year of the EU-IMF programme of financial support. We successfully concluded the 11th review mission of our EU-IMF programme, and data released in the Exchequer statement on 2 October indicate that the Exchequer primary deficit target was met for the 12th consecutive quarter. In line with each of the previous quarterly reviews, Ireland has met all quantitative fiscal targets and our continued strong programme implementation has been recognised by the troika. Verification of the relevant quarterly targets forms a key part of the mission, and the Government has repeatedly stated that meeting these conditions on time and on target is the best way to ensure we emerge successfully from this programme, which is our primary focus. It is important to build confidence in the State’s ability to manage its debt and deficit to enable us to return with confidence to the financial markets for funding in as timely a manner as possible. This is one of the principal objectives of the programme.
I have regular interaction with the troika and have discussed all the elements of the programme including fiscal developments, the macroeconomic outlook, progress on commitments regarding restructuring the financial sector and structural reform. Following each review mission, and arising from detailed and lengthy discussions with the troika team, revised versions of the programme documents, including the memorandum of understanding on specific economic policy conditionality, are prepared by my Department and the Department of Finance along with the Central Bank in conjunction with the external partners. These programme documents are made publicly available on my Department’s website.
I thank the Minister for his response and acknowledge the work and interaction that has taken place in the past several hours between his Department, the Department of Finance and the troika. It is important to highlight the challenges that lie ahead of us in regard to exiting the bailout. When we become masters of our own destiny, we will face different challenges. I wish the Minister well in that work.
John Maynard Keynes's philosophy in 1929 was that governments should spend their way out of depression. He was originally a civil servant and I am sure he has fans in the Department of Public Expenditure and Reform who would argue that we should examine our capital programme in a positive and proactive way. There are shovel-ready projects in my constituency, such as the Cockhill bridge outside Buncrana and the link bridge in Letterkenny. Depending on progress and on a positive outcome for the A5 route, there will be opportunities for infrastructure projects in Lifford and Strabane and the Letterkenny link road. I acknowledge these projects cannot all be completed in one year, but the combination of the Minister's good work and the projects that are lined up could provide a positive outcome over a period of time.
I thank Deputy McHugh for his compliments to my staff and to those of the Department of Finance for the detailed discussions in which they engaged not only over the past few hours but also last weekend. We sometimes take for granted the work of civil servants but they work incredible hours in the interest of the State. We are now focusing on the next phase. We will exit the programme by the end of this year and we have to structure our exit. That has been central to our most recent discussions and will be the key element of discussions with the next troika mission. We want to ensure an orderly and trouble free exit from the package while continuing to fund our public services.
I am gratified by the Deputy's enthusiasm for spending. I know he will trenchantly argue his position within his party confines. I am a big advocate of ensuring we have the maximum possible expenditure on all the projects he has instanced and the many more I could add to the list.