Oireachtas Joint and Select Committees

Wednesday, 9 October 2024

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach

Engagement with the Central Bank of Ireland

1:30 pm

Photo of Peadar TóibínPeadar Tóibín (Meath West, Aontú) | Oireachtas source

I appreciate that there were lots of reasons the housing crisis happened. It would be my view that the ECB would have a closer eye to Germany's needs economically in setting the interest rate than it would in respect of Ireland. That is a another day's discussion but that is strongly my view.

There are constraints within the Irish economy. If investment goes in that is too large in the context of those constraints, it will lead to inflation and overheating. Would one of the solutions be for the Government to increase capacity? If we had more capacity within the sector - for example, if we had more construction workers - it could act as a valve to offset some of the overheating aspects of extra investment.

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