Monday 26 February 2018

News of bailout "sapped the country's confidence" - Noonan

Colm Kelpie

Colm Kelpie

FINANCE Minister Michael Noonan has said news of the bailout three years ago sapped the country's confidence, like air being let out of a balloon.

After receiving an award from the German Irish Chamber of Commerce for the bailout exit, the minster said the shock that went through the country in November 2010 was palpable.

''On Monday evening, that sense of shock that ran through the country will have been dissipated'' he said.

'' I remember listening to Morning Ireland when the Governor of the Central Bank announced it could no longer get money on the market and that Ireland would have to go into a rescue programme,'' he said.

''The shock that went through the citizens of our country was palpable. It took out the confidence in the country like air going of out of a balloon.

''On Monday afternoon of next week the shock will have disapated and confidence will have built back up again.''

He said he was committed to a new economic model, with the country moving from boom and bust model to a sustainable model

He said the budget deficit - the gap between how much the state spends and takes in through taxes and revenue - will be about 7pc of the value of the economy this year. This is lower than the target figure of 7.5pc.

''The target in the budget of 4.8pc of a deficit (for 2014) which is below the programme requirement of 5.1pc looks to me now like a pretty soft target and a target that can be exceeded.'' he said. 

He said the Irish people had been very prudent and had suffered alot.

''It has been tough and the real heroes and heroines of this are the ordinary citizens of Ireland who decided it had to be done and buckled down and didn't go on violent protests on the streets.''

Mr Noonan said he was very pleased to get the Kuratorium Award from the German Irish Chamber of Commerce.

German Irish Chamber of Commerce President John Bowden said Mr Noonan's work in Europe and at home had had a huge positive impact on German Irish relations.

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