Sharon Keogan (Independent) | Oireachtas source

The Minister is very welcome to the House. I welcome this Bill. It is prudent that we examine our financial status in the wake of Covid-19 and seek to "put the debt ratio on a downward path", as the Minister told the Dáil last week. The Bill comprises a number of assorted financial measures and tweaks. A miscellaneous Bill always affords a useful opportunity to deal with multiple issues at once. I would like to discuss a few of those with the Minister.

As president of the Eurogroup, can the Minister update us on what progress has been made in this country in preparation for the minting of the digital euro? I understand the European Central Bank, ECB, is actively investigating the prospect having published a report on payment preferences in March as part of the current phase. The Central Bank of Ireland has done some looking into central bank digital currencies, which would enable its users to have access to widely accepted, safe and trusted means of payment for the digital age. Recent global events have given rise to concern over State control of private finances, however. The extra judicial freezing of assets and transactions by the Canadian Government of individuals deemed associated with anti-Government protests provide a chilling case study in the abuse of centralised power. In the Minister's opinion, what protections in this area would be necessary to ensure the continued financial autonomy and privacy of Irish citizens?

Section 12 of the Bill allows for a refund on the increased level of stamp duty levied on bulk purchase housing, regardless of whether that housing is subsequently used as cost-rental housing. I share the opinion of many that last year's increase in stamp duty was not sufficient in dissuading real estate investment trusts, REIT, from bulk purchasing residential properties. I sincerely hope this clause will not undo even that small measure. I understand this is only in relation to cost rental as per the Affordable Housing Act 2021, but we are all aware of the unintended consequences of legislation, particularly in all areas as complex as housing. This comes at the same time as the announcement of the new €500 million fund aimed at granting developers up to €120,000 per apartment in order to unblock stalled developments and make the building of apartments financially viable for developers. It is moves like this that make people think the housing market is being propped up and that we are in for a nasty shock at some point in the future.

Across the pond in the US, the biggest financial firms are beginning to use the word "recession" in light of the continued inflation trends. The country's GDP shrank for the first time since the start of the pandemic. Another quarter of downward trends will meet the technical definition of a recession.

Last week, Deutsche Bank became the first major bank to call an impending recession in America. History shows that any sort of a collapse in a key player like the United States has its impact felt the world over. The question then is: what are we going to do to prepare? What is the Minister's outlook on the global financial near future in terms of inflation and recession? What steps are being taken on foot of it? Maybe these issues are beyond the scope of this Bill or perhaps some provisions are simply more miscellaneous than others. I would be most grateful if the Minister could address them.