Growth of 0.4% forecast for euro area
The eurozone economy is on a recovery path, according to all but a handful of forecasters polled by Reuters who also gave a slightly more than one-in-four chance of Greece leaving the currency union.
Economists are more optimistic about a turnaround in the region compared with a month ago, which should provide some cheer given that for years a faltering eurozone has been one of the top risks to global …
Strategic investment fund to invest up to €1bn across country during 2015
The State’s newly created investment fund has announced that it expects to commit between €500m and €1bn to investments in Ireland over the rest of the year.
The Ireland Strategic Investment Fund, which is controlled and managed by the National Treasury Management Agency, is currently evaluating over 100 investment proposals throughout the country. The additional funds that it expects to invest throughout 2015 will bring its total Irish investment commitments …
Permanent TSB outlines risks to potential investors
Permanent TSB Group has warned potential investors that a return to profit may be at risk from political pressure to cut interest rates and a potential British exit from the EU.
PTSB may be forced to lower its existing 4.5% standard variable rate on mortgages because of mounting political, regulatory, or competitive pressure, the bank said in a 132-page capital-raising document obtained by Bloomberg News.
State-owned PTSB is seeking to …
Debt at record high in Europe
Government debt in the eurozone has surged to the highest levels since the introduction of the single currency, underscoring the challenges still confronting the 19-nation bloc as it wrestles with Greece over new aid payments.
Greece’s debt pile swelled to a new high of 177.1% of GDP at the end of 2014, up from 175% a year earlier, the European Union’s statistics office in Luxembourg said yesterday. For the eurozone …
British EU exit risk to Ireland
The biggest loser from a Conservative Party victory in next month’s election might end up being Ireland.
Prime minister David Cameron has pledged to renegotiate Britain’s EU membership should he win a second term, and hold a vote by the end of 2017 on whether to remain in the common market of more than 500m people.
Britain is Ireland’s biggest trading partner, accounting for more than $44bn (€41bn) in 2013, …
2015 tax take set to be €2bn better than forecast
The Government is expected to take in over €44bn in tax revenue this year. The surplus amounts to €2bn, or 5% more than was forecast in last October’s Budget.
Rises in pay, falling unemployment, rising domestic demand, and lower taxes have placed the Irish economy in “a sweet spot”, Goodbody Stockbrokers said yesterday in its second quarter health check on the State’s finances; and it only sees things improving.
Earlier …
GDP growth pushes deficit close to the limit
Ireland’s deficit fell at an impressive rate at the tail end of last year, with the final quarter deficit just above the EU-imposed limit the Government will have to reach by the end of 2015.
Minister for Finance, Michael NoonanMinister for Finance, Michael Noonan The general government deficit for the fourth quarter of last year — which measures the difference between what the country takes in and its expenditure — …
State-funded grants for first-time buyers under Labour plans
First-time buyers will receive state-funded grants to help them meet strict Central Bank deposit limits, under plans being considered by Environment Minister Alan Kelly. The news comes as senior Government sources last night said its announcement on a new mortgage arrears plan is now not expected until after the Spring Statement on the economy on April 28. This is because of continued disagreement between the Coalition over Labour demands to …
50% of drivers feel State should pay if insurer fails
Nearly 50% of respondents to a survey feel the Government should pay for any outstanding claims if a motor insurer goes to the wall. The study is by insuremyvan.ie.
It is published almost a year after the liquidation of Setanta Insurance and its parent left about 75,000 consumers uncovered for their motor insurance.
The survey found 46% believe the liability for such an event lies with the Government. However, the …
70% of mortgage holders in arrears are long-term
Seven in 10 residential mortgage holders behind on their repayments are in long-term arrears — a third of which are grappling with a payment backlog of two years or more.
Despite the latest Department of Finance mortgage arrears figures showing a slight improvement in the number of borrowers in arrears, the scale of the crisis is strikingly evident.
At the end of February, the number of primary dwelling mortgage accounts …