Lucinda Creighton (Dublin South East, Independent)
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87. To ask the Minister for Finance his views on the precise actions being carried out to underpin a return to sustainable medium-term economic growth. [24383/15]

Michael Noonan (Limerick City, Fine Gael)
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In April this year, the Government published its Spring Economic Statement which sets out its strategy for the remainder of this decade to build on the economic recovery currently underway. Through a continuation of prudent, medium-term focussed budgetary and economic policies, sustainable increases in jobs and in living standards for all will be achieved.  The policies to achieve this objective include:

A growth-friendly tax system:The Government's tax policy is focussed on putting the tax base on a more stable and sustainable footing.  We are rebalancing the tax system in a growth friendly manner by maintaining a broad base, rigorously evaluating new and existing tax expenditures, relying to a greater extent on taxes that are less harmful to growth, and gradually lowering the tax burden on labour. The commencement of a multi-year programme of income tax reform which began in Budget 2015 is part of this process. 

Financing for growth:The Government is working to ensure adequate credit supply for Small and Medium Sized Enterprises through inter alia state-sponsored vehicles such as the Ireland Strategic Investment Fund and the Strategic Banking Corporation of Ireland.  We are continuing to explore ways of improving credit supply, including through non-bank sources.  The Government is actively engaged in work at European level on the Capital Markets Union and the European Fund for Strategic Investments.

Labour market policies:The Action Plan for Jobs is a whole-of-Government process that has played a key role in creating employment and reducing unemployment.  The Plan's target of 100,000 additional jobs by 2016 will be met this year.  Unemployment has fallen by 5 percentage points since its peak.  The Government is continuing to work to reduce it further through the Action Plan for Jobs and the Pathways to Work strategy.

Recouping the cost of the bank bail-out:The investment in the banks by Irish taxpayers has been unprecedented, totalling €64 billion.  Over the past few years, major steps have been taken to reduce the overall cost of this recapitalisation including the liquidation of the IBRC, the disposal of some of our banking investments and the receipt of interest and fees. In relation to our remaining banking assets, the Government's strategy is to identify suitable opportunities for disposal which will maximise the return for the taxpayer.

Reducing the drag from public debt: Policy efforts by the Government have reduced the deficit and put debt on a sustainable path.  These efforts have reaped considerable benefits through the reductions in the debt burden.  The Government is complying with European fiscal rules which are designed to ensure that sensible levels of debt and deficit are achieved, and that increased public expenditure can be financed.

Targeted sector-specific interventions:Re-building the economy sector-by-sector has been a key feature of the Government's economic policy.  In some areas, such as tourism and agrifood, the approach has been about building on comparative advantage and exploiting new market opportunities. In other sectors, particularly construction, the focus has been on repairing the sector.  The Government has developed a number of sectoral strategies with the aim to continue this successful approach, including in Tourism, Financial Services, Construction and Agrifood.

These, and other policies, are set out in detail in the Spring Economic Statement.  Sustained implementation of these policies is key to achieving steady, stable growth in employment and output over the medium term, to deliver a more prosperous future for all.