The right road to recovery
Published 03/03/2010 | 05:00
WITH more bad news on the doorstep, including mortgage increases, a falling tax take and more projected job losses, there is some relief in looking forward to better times, provided the Government heeds the warnings, sticks to its cost-cutting plans and works to ensure the country emerges from recession fit to compete on the world stage.
Other countries share the same aspiration, so there is much work to be done if Ireland is to share in an international recovery.
Allied Irish Bank says a rise in its mortgage rates is unavoidable and, because the entire Irish banking system is "dysfunctional", in the understated view of its managing director, the AIB lead is certain to be followed by other institutions. The bank suffered a €2.4bn loss in 2009, the first annual loss in its 44 years. Meanwhile, February's tax returns were lower than the Department of Finance had hoped, although government spending has been reduced.