Michael Fitzmaurice (Roscommon-Galway, Independent)
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87. To ask the Minister for Finance if Ireland will be applying for loans under the EU recovery and resilience facility; if so, the amount that will be applied for; the potential interest rate and terms in this regard; and if he will make a statement on the matter. [17795/21]

Paschal Donohoe (Dublin Central, Fine Gael)
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The Recovery and Resilience Facility makes provision for lending by the European Commission to Member States.

Member States must submit an application for a loan to the European Commission before 31 August 2023 (for approval by the European Commission prior to 31 December 2023). No information of the loan terms and conditions is available at this stage.

Consideration of whether Ireland should seek to avail of the loan element will take place when the relevant information on loans becomes available from the European Commission.

Michael Fitzmaurice (Roscommon-Galway, Independent)
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88. To ask the Minister for Finance the gross liability for Ireland in relation to the EU recovery and resilience facility; the amount it varies from €18.7 billion; and if he will make a statement on the matter. [17796/21]

Paschal Donohoe (Dublin Central, Fine Gael)
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As the Deputy will be aware, on 21st July 2020, Heads of State and Government reached agreement on the €1.074 trillion Post-2020 Multiannual Financial Framework (MFF) and €750 billion recovery plan “Next Generation EU” (NGEU), totalling €1.82 trillion. The centrepiece of the NGEU is the Recovery and Resilience Facility, made up of €312.5 billion in grants and €360 billion in loans.

In order to avail of funding under the Recovery and Resilience Facility, all Member States must submit a National Recovery and Resilience Plan. Ireland’s National Recovery and Resilience Plan must be submitted to the European Commission by 30 April 2021 and will set out a package of both reforms and public investment projects which will be implemented by 2026. The Department of Public Expenditure & Reform, working with the Departments of the Taoiseach, Finance and Enterprise, Trade & Employment, are responsible for the preparation and coordination of the National Recovery and Resilience Plan. Reforms and Investments attracting funding under the NRRP will be paid on a performance basis through the Recovery and Resilience Facility, in other words, when agreed milestones and targets are achieved, drawdown of funding can happen.

In May 2020, the European Commission produced a needs assessment underpinning the proposed NGEU. In this needs assessment the European Commission estimated that Ireland’s contributions to the NGEU package would be in the region of approximately €18.7 billion over the next thirty years. However, this estimate was inaccurate for a number of reasons and was intended only as an illustrative example of what might be and was not based on real budget figures.

At this time of crisis, the Covid recovery funds are needed now, and will be received by Member States up to 2026, but will be paid back over 30+ years. These repayments are not expected to begin for a number of years yet, and the contribution Ireland will make has yet to be determined and will depend on our share of the overall EU budget over the course of those repayments. They will also depend on what new Own Resources are agreed at EU level. It is not possible to give an accurate overall figure at this time.

Michael Fitzmaurice (Roscommon-Galway, Independent)
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89. To ask the Minister for Finance the amount in grants Ireland will receive from the EU recovery and resilience facility; if the figure of 0.989 or 186 billion on Annex IV is accurate at time of passing the regulation; and if he will make a statement on the matter. [17797/21]

Paschal Donohoe (Dublin Central, Fine Gael)
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As the Deputy will be aware, on 21^stJuly 2020, Heads of State and Government reached agreement on the €1.074 trillion Post-2020 Multiannual Financial Framework (MFF) and €750 billion recovery plan “Next Generation EU” (NGEU), totalling €1.82 trillion. The centrepiece of the NGEU is the Recovery and Resilience Facility, made up of €312.5 billion in grants and €360 billion in loans.

Under the Recovery and Resilience Facility, Ireland’s current grant allocation is €914.6 million (current prices). Under the Recovery and Resilience Facility regulation, 30% of the total grant element will be kept on hold until 2023, to then be disbursed to Member States using a revised allocation methodology based on actual GDP output. Latest Commission estimates suggest that this additional allocation to Ireland may be approx. €74.6 million (current prices), but this figure will not be confirmed until 2022.