Results 15,101-15,120 of 16,537 for speaker:Brian Lenihan Jnr

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: I will answer the question.

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: I do not know from where the Deputy took the reference to the banana republic. Who referred to this country as such?

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: It is not a very good sign of all-party co-operation when the source of particular information cannot be disclosed.

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: I am not aware of who advised that this country was a banana republic. I agree with Deputy Burton that it is not one. However, I am concerned she raised a question which seems to be based on a story that appeared in a newspaper this morning. I am in correspondence with that newspaper. Obviously, I would not have been aware of the repayment of the bonds because they were a commercial...

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: I was not aware of the fact.

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: I was not made aware of the fact. I am not made aware of the routine operations of such organisations. There was a very large amount of redemption of guaranteed bonds in all the institutions coming up to the guarantee date. There was nothing unusual in that. The effect of the guarantee was that institutions were able to raise finance on the markets with the benefit of a sovereign...

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: I will check that for the Deputy. It is on a very thin market. On the interest rate of 6.4%, the view was taken by the National Treasury Management Agency at that stage that the best course of action was not to go to auction in October and November but to do so in January 2011. That remains the position, as the Deputy is aware.

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: No.

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: As I indicated, I am not aware of the normal commercial operations of the bank. On the question concerning the promissory note, I have not received any submission to date regarding the precise terms surrounding the execution of this note. Therefore, I am not in a position to advise the Deputy at this stage as to what precise interest rate will be charged or how it will be computed.

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: I answered the Deputy's question when I indicated I had not received a submission in the matter yet. On Deputy Creighton's question, the ratio between expenditure, both current and capital, and taxation, will be set out in the national plan. It is, however, a matter of general economic wisdom that a correction is more effective if it leans on the expenditure rather than taxation side....

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: On the Croke Park agreement, I do not have a figure to hand. The various matters raised in the agreement are being implemented through the relevant bodies. The agreement contains an assurance that there can be no compulsory redundancies or pay reductions for those who are taking the benefit of the agreement. However, I have made it clear to the staff side that the savings that must be...

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: Let us deal with forecasting. Let us deal with the forecasts for GDP this year to ascertain how wrong they were. That would be a good point of departure, rather than the generalised statement with which Deputy Noonan concluded to the effect that every forecast was wrong. For example, in respect of GDP forecasts for this year, my Department was wrong because it was too pessimistic. Last...

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: No, one should be clear about this. At the time of budget 2010, the IMF predicted a contraction in GDP of 2.5% for this year, whereas there has in fact been a contraction of 0.25%. Consequently, it was wrong by 2% in a negative direction last year. The ESRI predicted last year that GDP growth would be -1.1%. As it now stands at -0.25%, the ESRI was wrong in a negative sense, albeit by a...

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: When discussing the reliability of forecasts, I accept Deputy Noonan's point that there is scope for error but that does not absolve the Government from making judgments and assessments, as it is obliged to do. These were the forecasts made in respect of 2010 but if one considers the IMF's forecast for 2011, it stood at 1% at the time of budget 2010 whereas it now stands at 2.3%. One can...

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: Deputy Costello also asked about the Franco-German declaration but I already answered that question when it was put to me by Deputy Morgan. Deputy Durkan reverted to the question of bondholders. I wish to return to this subject because Deputy Burton raised an issue about payments to investors in Anglo Irish Bank. The fact that more than €7 billion of Anglo Irish bonds were maturing by...

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: -----and in its interim report in 2010. I refer to note 26 on page 56.

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: I wish to put this on the record of the House and I-----

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: The funding profile of any financial institution is a commercial decision for the institution and is monitored by the Financial Regulator. Bonds are a usual source of funding for all financial institutions-----

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: -----and I understand this source of funding has been replaced by a number of funding sources, including the issuance of new term debt.

Macroeconomic and Fiscal Outlook: Statements (Resumed) (28 Oct 2010)

Brian Lenihan Jnr: Deputy Burton should note that Members will not have a sensible debate in this House if she accepts defamatory stories in particular newspapers at face value. As for Deputy Durkan's question-----