Michael Noonan (Limerick City, Fine Gael)

Quarterly reviews, such as the one which will start later this week, are a standard feature of financial support programmes. The purpose of these reviews is to assess the progress of the programme to date and, in particular, to determine if the targets for the relevant quarter have been met. It will also consider progress on targets which are due in subsequent quarters to ensure sufficient progress is being made.

The review process includes a mission by the EU, ECB and IMF staff to Ireland and the preparation of reports on their findings. The disbursement of further funds is conditional on positive assessments of compliance and approval by the Eurogroup, the ECOFIN Council and the IMF executive board, as appropriate.

The Government has repeatedly stated its commitment to the programme targets. Meeting these conditions on time and on target is the best way to ensure that we emerge successfully from this programme. That will mean that we can return safely to the financial markets for funding in as timely a manner as possible. This is one of the principal objectives of the programme. The Government's commitment to the programme does not stop us from seeking and agreeing changes to aspects of the programme. We have already done this successfully. The Government will continue to do so at the appropriate time.

For the forthcoming review, the primary focus will be on our performance against the targets due by the end of the second quarter of 2011 and assessing progress on targets due in subsequent quarters. I have already signalled that, notwithstanding the substantial consolidation already carried out, in particular the amount being delivered by the Government this year, difficult decisions in relation to future consolidations remain.

There is no doubt that budget 2012 will be another difficult budget that will require an adjustment of a minimum of the €3.6 billion already indicated. Final decisions in relation to budget 2012 will be made by the Government in due course in light of the latest relevant information available at that time.

See this speech in context