Kathleen Lynch (Cork North Central, Labour)
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Question 103: To ask the Minister for Finance his views on the end of 2010 Exchequer returns; and if he will make a statement on the matter. [1368/11]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The end-year Exchequer Returns of revenues and expenditure for 2010 provide further evidence of the stabilisation in the public finances. The overall Exchequer Balance of €18.7 billion is in line with my Department's estimates set out in December 2009. Tax receipts were €703 million or 2.3% above target while voted expenditure of Government Departments was almost €730 million or 1.5% down year-on-year, demonstrating the positive impact of decisions taken by Government. The stabilisation of our tax revenues and the achievement of the Exchequer deficit target as set out in December 2009 are encouraging signs and indicate that the underlying General Government deficit should come in at 11.6% of GDP. This is in line with my Department's Budget day forecast in December 2009 and means we will achieve our stated aim of stabilising the deficit ratio at the underlying 2009 level.

The Exchequer Returns for 2010 confirm my analysis that the public finances have stabilised. These figures, in tandem with the encouraging economic data for the third quarter of 2010, mean we enter 2011 on the road to economic recovery and that the targets set in Budget 2011 are achievable.

The Government has consistently identified export-led growth as the strategy that will return this economy to growth and generate jobs. This strategy is working thanks to the improvement of competitiveness, and the flexibility and adaptability of the Irish economy. Exports in 2010 were at an all-time high and represented growth of 6.2% on 2009. This strong performance was particularly positive in the manufacturing and agri-food sectors.