Michael McGrath (Cork South Central, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

248. To ask the Minister for Finance if the budget deficit projections for 2015 contain an assumption for the savings that will be achieved from the early repayment of the IMF loans; and if he will make a statement on the matter. [40444/14]

Michael Noonan (Limerick City, Fine Gael)
Link to this: Individually | In context | Oireachtas source

The forecast for the general government deficit in 2015 contains an estimate for general government interest expenditure that is more than €800 million lower than the equivalent estimate in the Stability Programme Update. This reduction reflects the more favourable outlook for interest rates generally and also a prudent provision for projected savings arising from the early repayment of IMF loans.  The actual level of savings will depend on a number of factors including the amount and timing of the repayments and the timing of, volume and interest rates on any related bond issuance.

While the early repayment is subject to the completion of all national approval procedures in the relevant European states, the provision was included on the basis of the broad political support indicated at the September ECOFIN meeting. There will be no early repayment until all approvals are in place.