Brian Cowen (Laois-Offaly, Fianna Fail)

My Department's economic forecasts have not changed from those published on budget day, when GDP growth of 3% was projected for this year with GNP growth of 2.8%. With regard to what the Taoiseach said in his recent speech to the Dublin Chamber of Commerce, there is no inconsistency. He was speaking in approximate terms. Furthermore, among economic commentators, the current range for forecasts is from 2% to 4%, with some taking a more pessimistic view and others an optimistic view of the various risks that the Department of Finance identified when it set out its forecasts at budget time.

The more important point that the Taoiseach was making is that the fundamentals of the Irish economy are strong. While we must not underestimate the issues that are facing us, once the current situation is managed correctly we should expect to see growth pick up towards 4% in the coming years. This is the view of most of those who have published forecasts for 2009 as things stand. We are laying the groundwork for future prosperity through the continued prudent management of the economy and public finances, while at the same time making significant additional capital investment under the continued roll-out of the national development plan.

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