Consensus on the Economy is Possible and Important

Senator Dan Boyle of the Green Party said today in the Seanad that we should be careful when it comes to economic debate because people are watching and negative comments can have a detrimental effect on the economy. 

However, we have had quite a number of debates in the Oireachtas on the banks.  Over a series of a months there was a denial by the Government that recapitalisation was necessary.  There is still a denial that nationalisation is necessary at this stage but many, including Dr. Alan Barrett, one of the authors of today’s ESRI report, argue one might as well go straight away to nationalisation.

There is a point that overall adversarial debate on the economy can be a bad thing.  Having said that, what have the Taoiseach, the Minister for Finance and the Government, done to endeavour to secure a bipartisan approach on the economy, the banks or the state of the public finances? 

No joint Oireachtas committee has been asked to look into these matters.  No finance committee has been established to examine them.  There has been no reaching out to the Opposition to have a formula or expert opinion brought in to adopt a consensual approach.

No Member of the Opposition is adverse to such an approach.  The Fine Gael spokesperson on finance Richard Bruton has frequently requested such.  Consensus is possible and important.  However, the Taoiseach has said on numerous occasions that the Opposition talks while the Government makes the big decisions, as if it were the brightest pupil in the class.

It is this kind of adversarial approach that has us where we are today.

What Will NAMA Cost? Government Must Be Upfront

Today’s ESRI report refers to extraordinary figures of 12% unemployment, gross domestic product falling by 9% and the national debt at more than 55% of gross domestic product. 

What is most frightening about this is that it does not take into account the cost associated with the creation of NAMA and the taking over of toxic assets from our commercial banks.  The Government must be forthcoming with regard to the real cost of this operation. 

Naoise Nunn Abandons Ship

I note that Naoise Nunn, who was heavily involved in the Libertas campaign on the Lisbon treaty referendum, has abandoned the Libertas ship. Judging by recent polls in Ireland, Poland and elsewhere, it is a sinking ship. 

Continue reading Naoise Nunn Abandons Ship…

Government Must Be Upfront and Honest about the Cost of the Bail Out of the Irish Banks

The IMF report has indicated that the cost of the bail out of the Irish banks would be €24 billion or approximately 14% of GDP. 

The Government has suggested, in effect, that the bail out of the Irish banks is cost free. 

Continue reading Government Must Be Upfront and Honest about the Cost of the Bail Out of the Irish Banks…

Government Must Take Responsibility for the Current Crisis

Successive Fianna Fáil Governments, including the present Government, have been elected on give-away budgets that have been unsustainable in the long term.  It hope it does not expect to be congratulated when it claws it all back in the budget today and in succeeding budgets. 

It is very important to place responsibility on, and to acknowledge, those responsible for the difficulties we face. 

I note that the Government intends to reduce the number of Ministers of State, even though it voted against a Fine Gael motion in that regard some weeks ago. I hope this is not an indication of the Government’s failure to take the hard and tough decisions that are required.