Results 11,821-11,840 of 27,019 for speaker:Michael Noonan

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: Construction was obviously a sector of the economy that was so damaged one would not know what to do with it when one approached it initially. However, it is being repaired. The first issue for the construction industry is that unless the cost of building a house is less than the price for which the builder can sell it, no house will be built. That is the first thing to remember. House...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: I thought it was €6.5 billion, but I am subject to checking.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: Is the Deputy is referring to the NTMA cash?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: First, on the NTMA cash balances, in consultation with the NTMA we deliberately got the NTMA to build the cash balances so we had a precautionary buffer as we were going into the markets. That worked out, but they are not needed now so they will be tapered down over the next couple of years. The prudent position according to the NTMA, in its advice to me, is that we hold approximately 16...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: The deficit as a percentage of GDP involves two numbers, which are the size of the deficit and the size of GDP. It helps the ratio to decrease if one can grow the GDP but it also helps if one can reduce the deficit through more tax, expenditure or growth. If one were to substitute GNP one would gain on present growth levels but one would lose on the quantum because GDP is significantly...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: My advisers tell me things should begin to level out next year. Table No. 3 in the documentation on macroeconomic prospects-----

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: It is on page 6. The table shows a timeline.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: The table shows GDP as 2.7% in 2015 whereas GNP is shown as 2.3%. In 2016 it is 3% as against 2.5%-----

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: Exports of services are very strong and there has been huge multinational investment in recent years, which will be translated into increased productivity and increased exports. This will be the key factor.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: I do not believe there is a possibility of deflation. One of the factors in driving the European figures so low was the reduction in energy prices in recent times, and this will fall out of the figures shortly. The inflation figure will not return to 2% but it will ease fears of deflation. If one follows what Mr. Draghi states, he does not envisage deflation, but he is very conscious of...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: Table No. 3, to which I referred Deputy O'Donnell, shows the components of GDP in the second set of figures. Domestic demand is a combination of the first line, which is private consumption at 2%, and the third line, which is investment at 15.4%. This is domestic demand and one can see it is recovering in these figures.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: The European Central Bank is independent under law in the exercise of its functions. It takes a very adverse view of politicians commenting on what it does. Our representation at the European Central Bank is through the Governor of the Irish Central Bank and there is no political representation in any forum associated with the ECB. We will never be in such a position, unless it is a...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: I think we are improving competitiveness for a while and we are taking into account the data we have to hand. As the Deputy knows, European inflation rates are very low. I do not envisage a once-off correction changing, but I think it will go back up. The European Central Bank policy is for a gradual increase in inflation while staying within its mandate of less than 2%.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: There is considerable speculation about the European Central Bank intervening in the markets. There is speculation that it could do that in June, for example, but I have no information beyond what I read in the financial papers as to how realistic that might be. That would obviously change the inflation figure if extra liquidity is put in and extra purchasing power is put in. It will not...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: I wish to revert to the Deputy's previous question because I have just got a note stating that the oil prices and energy costs that had decreased were depressing the inflation rate. As they reassert they come back into the figures, so it will go to 1.2%, 1.3% and so on. That is the explanation for the table. On the promissory note, the way we organised the alternative to the promissory...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: I have noticed the discrepancy the Deputy drew to our attention in the last set of figures. What he has said is correct. I cannot explain it to him. It may be because so many women are involved in the public services, such as teaching, nursing, the Civil Service and local authority offices. There are a disproportionate number of women in those areas of employment. There have been...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: Regardless of how desirable something is, we cannot do everything. For a while we will be prioritising growing the economy and getting the jobs; that is the agenda.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: I do not agree with the Deputy's presentation because we have focused on growth. We had a twin-track approach to get the deficit down and control the debt - and the troika programme was up in lights for everybody - but, in parallel with that, the Government ran a programme to grow every sector of the economy. That is why I reduced VAT in the tourism industry from 13.5% and 9%; that is why...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: There is carryover in revenue and expenditure. I cannot give the Deputy specifics but there is carryover from the Haddington Road agreement. There is always a carryover on the revenue side but it is not large this year. I recall seeing figures before Christmas and it was low.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Irish Stability Programme Update: Minister for Finance (15 Apr 2014)

Michael Noonan: It is €2 billion allowing for the carryover, which is small, but there is a bit more probably on the expenditure side than on the tax side. The rule of thumb division is 2:1 in favour of expenditure and, therefore, one is looking at approximately €700 million in tax.