Bernard Durkan (Kildare North, Fine Gael)
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Question 86: To ask the Minister for Finance the degree, if any, to which it might be possible in future years to modify or moderate some of the most negative aspects of the financial bailout entered into with the EU and the IMF by his predecessors, with particular emphasis on areas that are likely to cause long-term damage to the country's economic prospects; and if he will make a statement on the matter. [27894/11]

Michael Noonan (Limerick City, Fine Gael)
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As the Deputy will be aware, under the EU/IMF Programme of Financial Support for Ireland, the external partners will provide up to €67.5 billion subject to compliance with the conditionality set out in the Programme. In addition to the external funding of €67.5 billion, Ireland is using €17.5 billion of its own resources and this brings the overall EU/IMF Programme up to a total value of €85 billion. The key objective is to restore confidence and return the economy to a path of sustained growth and to support job creation. This will result in Ireland regaining access to market funding at reasonable rates. The fourth quarterly review of the EU / IMF Programme of Financial Support for Ireland takes place from the 11th to the 21st October 2011. The review will comprise of a series of meetings to evaluate all the elements of the programme covering fiscal developments including the Comprehensive Spending Review and potential asset disposal, the macroeconomic outlook, progress on commitments in restructuring the financial sector and structural reform.

From my dealings to date, I have found the Programme partners are open to changes in the actions and conditions set out in the EU/IMF Programme provided any such changes are accompanied by compensatory measures of equal value or effect. The primary forum for such consultation is the quarterly review missions with the Programme partners.

As the Deputy will be aware, the Government has already successfully renegotiated elements of the Programme – for example the Jobs initiative, the ending of further asset transfers to NAMA, and reversal of the Minimum Wage cut. More recently, we have successfully renegotiated the interest rate charged for the loans along with important changes and improvements to the EU's EFSF funding facility. For the forthcoming review, the Government focus will be on issues such the composition of fiscal policy both for Budget 2012 and for the medium term along with issues such as asset disposals.