Troika Won't Rule Out Mini Budget 2012 - No Jobs Boost for Irish Economy

[C. Flower]

(Via Namawinelake)

http://namawinelake.wordpress.com/2012/01/18/troika-not-ruling-out-mini-budget-in-2012/

Pearse Doherty reports from his meeting this morning with the Troika that if need be to meet targets Ireland will have to have a 2012 minibudget - more cuts and tax.

NWL also says that Draghi ruled out any jobs programme for the peripheral countries.


When the ECB president Mario Draghi spoke last week about Europerecovering from the economic crisis, he spoke of an acceptance for the need for growth measures. But when by Derek Scully from the Irish Times asked (from about 54:00 on the video of the press conference (http://www.ecb.int/press/tvservices/webcast/html/webcast_120112.en.html)) about how programme countries (Portugal, Ireland and Greece) might develop growth measures, Mario was emphatic and said no, he wasn’t giving a green light for programme countries to abandon austerity and deficit balancing so that they could pursue job creation measures for example.



The talk of jobs and mortgage relief which successfully garnered FGs big majority is looking very sad and sorry now.

[ang]

Did the Troika tell the Government the same because they seem to be singing from a different hymn sheet.

The jobs initiative/budget is a huge flop and the mortgage debt is rising unsustainably but please don't panic - Enda has a plan a point one at that.

[Dr. FIVE]

Any chance this could have anything to with the rush to ratify?

[PaddyJoe]

There's also the fact that we have two contributions of 254 million to make to the ESM this year. That's another half a billion to pull out of thin air somewhere.

Ireland will commit itself to giving 1.6% of the total ESM fund: around €11bn.

However, the Tánaiste insisted not all this money will need to be handed over.

Ireland will pay €1.27bn to the fund in five equal instalments over the next three years, working out at around €254m a go.

It will be forced to pay the remainder of the €11bn sum if a member state calls upon the ESM in an emergency bailout situation.

A Department of Finance spokesman confirmed that the initial €1.27bn Ireland is due to pay will make up a European target of €80bn.

Read more: http://www.irishexaminer.com/breakingnews/ireland/tanaiste-funding-more-bailouts-reasonable-551008.html#ixzz1uVNKAYp1

[Kitty O'Shea]

I could cry. Where do they think the money is going to come from? I bet, now, that various ministers will start shouting that unemployed people don't want to work argument then proceed to cut back SW to "encourage" us to look for non-existent jobs.
Truly half expecting some bright spark to suggest we are rounded up and sent to Spike Island to make tacky tourist gifts.

[fluffybiscuits]

I could cry. Where do they think the money is going to come from? I bet, now, that various ministers will start shouting that unemployed people don't want to work argument then proceed to cut back SW to "encourage" us to look for non-existent jobs.
Truly half expecting some bright spark to suggest we are rounded up and sent to Spike Island to make tacky tourist gifts.

+1 on that Kitty. This will kick start the vicious cycle again of the never ending misery for people on welfare. Greece should have served as an example of what happens when you impose such austerity cuts and the issuing of such statement by the Troikia just shows they have learnt nothing. It pains me to see others in Greece go through such hardship because a couple of suits said so. Its going to stir the people more and more .

[Kitty O'Shea]

+1 on that Kitty. This will kick start the vicious cycle again of the never ending misery for people on welfare. Greece should have served as an example of what happens when you impose such austerity cuts and the issuing of such statement by the Troikia just shows they have learnt nothing. It pains me to see others in Greece go through such hardship because a couple of suits said so. Its going to stir the people more and more .

Indeed, the problem in Greece is that business owners evade VAT that is why, people should always ask for a receipt in Greece, otherwise there is no proof of VAT being passed to the government.
I've a Greek pal, what she tells me would make you wonder. Bribery is a big problem as it is systemic within their health care system, apparently her pal had his appendix removed as per normal and the consultant charged an extra 2,000E under the table. This is typical there.
The cost of living is very high things like car tax, insurance etc are as high if not higher than here and they are on a fraction of the wage. My friend works as an administrator with the government and she earns 1,800E/month before taxes. 600E is immediately taken from her account for social security then the rest of bills have to be paid. She was stunned at our wages and asked me why.
Apparently the Greek government have cut some of the perks but senior civil servants still get those perks but are renamed allowances instead!
The thing is, that like here, it's the average person getting caught out not the ones evading the tax or involved in bribery.
I don't blame the Germans for being so fed up of that nonsense (funnily enough they though I was German, when I said Irish "Ah Irish, you are like us"...).

[fluffybiscuits]

Indeed, the problem in Greece is that business owners evade VAT that is why, people should always ask for a receipt in Greece, otherwise there is no proof of VAT being passed to the government.
I've a Greek pal, what she tells me would make you wonder. Bribery is a big problem as it is systemic within their health care system, apparently her pal had his appendix removed as per normal and the consultant charged an extra 2,000E under the table. This is typical there.
The cost of living is very high things like car tax, insurance etc are as high if not higher than here and they are on a fraction of the wage. My friend works as an administrator with the government and she earns 1,800E/month before taxes. 600E is immediately taken from her account for social security then the rest of bills have to be paid. She was stunned at our wages and asked me why.
Apparently the Greek government have cut some of the perks but senior civil servants still get those perks but are renamed allowances instead!
The thing is, that like here, it's the average person getting caught out not the ones evading the tax or involved in bribery.
I don't blame the Germans for being so fed up of that nonsense (funnily enough they though I was German, when I said Irish "Ah Irish, you are like us"...).

Its the working man getting hit in the pocket and being left for dead more or less economically. The disparity in wages and the cost of living is amazing. I was pricing Greece a couple of years ago to go to Athens but there was an issue as regards the cost but to make a long story short the price of a pint (just to illustrate) was around the €5 mark or there abouts and you are spot on wages are lower. How people survive I dont know...