What good is plan with out growth?
THE most worrying aspect of the Government's recovery plan is the lack of focus on the vital ingredient of growth in the economy. I raised this issue in the European Parliament on October 7, questioning the ethos of mindless austerity and fiscal correction at any cost.
I agree with the view that frontloading the Budget poses an unacceptable risk to growth. I note that European Commissioner Olli Rehn deems the €6bn frontloading as ‘appropriate'. It may be appropriate to the immediate needs of the EU but it will serve Ireland badly. Nobody has, as yet, put forward any analysis that justifies the €6bn figure or the 2pc growth anticipated in the plan.
There is still time for the Government to re-examine its strategy and place priority on the growth element, without which the recovery plan has no chance of success.