Dáil debates

Tuesday, 30 November 2010

EU-IMF Programme for Ireland and National Recovery Plan 2011-14: Statements

 

5:00 am

Photo of John GormleyJohn Gormley (Dublin South East, Green Party)

For too long, we have engaged in auction politics and soft choices in this country. Fundamental reforms are required in our taxation and levy system to move it away from the boom-and-bust cycle of the past. Our economy must become more competitive so that we can export goods and services that will bring in the foreign earnings needed to restore the economy.

Fundamental mistakes were made as far back as 1977 when our tax system became skewed and made incomprehensible to many people. Many do not understand why we cannot have real local government, local taxes or water charges. For the first time, these issues will be addressed, which represents some form of progress.

Ireland will recover faster than many people have predicted. Our status as a small open economy means that while we suffer disproportionately on a downturn, we will benefit disproportionately on an upturn when the world and our trading partners enter economic growth. We are already trading in the black with exports exceeding imports. The value of exports by July 2010 had risen 12% since the previous July. New export businesses expanded in each month since September 2009, with overall manufacturing increasing by 5% by the middle of this year. Retail sales increased by 1.3% in August 2010 compared to August 2009. Unemployment rates always lag behind recovery but there is a marked decrease in the live register. September's figures saw a 24,506 overall decrease.

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