Minister Donohoe welcomes positive IMF Report
The Minister for Finance and Public Expenditure and Reform, Paschal Donohoe T.D., today welcomed the publication by the International Monetary Fund of its regular review of the Irish economy, the Article IV report.
- The Article IV report is a strategic review of the Irish economy and Government policies. The report sets out the views of IMF staff on the current position of the economy and its medium-to-long term prospects, medium-term fiscal policy, as well as financial and banking policy. This year’s report recognises Ireland’s continued strong economic performance.
- IMF staff note that Ireland’s growth continues to be among the highest in the euro area. Unemployment is at its lowest level in a decade thanks to strong and broad based job creation. Banks’ balance sheets continue to improve and the high level of non-performing loans has declined significantly. The report outlines that the outlook is expected to remain positive, although significant external risks, in particular Brexit, will pose a challenge.
Commenting on the publication of the report by the IMF, the Minister for Finance and Public Expenditure and Reform, Paschal Donohoe T.D. said: ‘I welcome today’s publication by the IMF which affirms the exceptional turnaround of the Irish economy. Such reports are an important mechanism through which the Irish Government can gain an invaluable outside perspective on its policymaking and benefit from the IMF’s extensive expertise’.
“I am pleased to see that this report from the IMF concurs with our own assessment of the Irish economy in many areas. The strong growth and low unemployment it outlines is a result of Ireland’s hard work and determined policy. We will continue to address remaining legacy issues from the crisis and prepare for the mainly external risks to the economic outlook, as we seek to lay the foundations for sustained and inclusive economic growth in the coming years.”
26 June, 2017
Notes for Editors
During an Article IV consultation, an IMF team of economists visits a country to discuss the country's economic and financial policies with government and central bank officials, as well as a range of public and private sector stakeholders. The team reports its findings to IMF management and then presents them for discussion to the Executive Board, which represents all of the IMF's member countries. A summary of the Board's views is subsequently transmitted to the country's government. In this way, the IMF aims to ensure that the views of the global community and the lessons of international experience are brought to bear on national policies. Summaries of most discussions are released in press releases and are posted on the IMF's web site, as are most of the country reports prepared by the staff.
The Article IV process is a requirement for all members of the Fund and takes place on a periodic, usually annual, basis. It is a long-standing element of Ireland’s regular engagement with the IMF. This year's review took place from 2-12 May and is separate to the IMF Post-Programme Monitoring (PPM), which tends to focus on short-term issues related to the EU-IMF Programme. The Article IV process is more strategic in its focus and considers medium to longer-term policy issues.
The IMF Article IV consultation involved a small team of IMF staff visiting Ireland for a two-week period of consultation during which they met the then Minister for Finance, Michael Noonan T.D., and Minister Donohoe in his role as Minister for Public Expenditure and Reform. The IMF team also met with the Governor of the Central Bank of Ireland, Philip Lane, and a broad range of public and private sector bodies.