TAOISEACH'S ADDRESS:THERE WAS no reason why the economy could not return to growth next year, "provided we stick to the right course", Taoiseach Brian Cowen told a conference of British and Irish parliamentarians yesterday.
Urging closer North-South co-operation, he told the British-Irish Parliamentary Assembly in Cavan that both parts of the island had overcome adversity in the past and there was every reason to believe they could do so again. “In the South, we have taken tough and unpopular economic and budgetary decisions,” said Mr Cowen, addressing the conference theme Towards Economic Recovery.
“We have stabilised the banking system, stabilised our public finances and stabilised the contraction in the real economy. Costs and wages are also adjusting to the difficult realities we face. We are applying all our energy and ambition to ensure that recovery comes as quickly as possible and that it leads to the new jobs and businesses that we need.”
This response to the economic crisis had been “strongly welcomed” by the European Commission and international commentators. The “difficult decisions” taken were now beginning to pay dividends. “Our actions have also helped stabilise the domestic economy, as shown by improving consumer and business confidence. No one of course suggests that the crisis is over. We still have a considerable way to go. But we have taken decisive action and without international confidence in our public finances there won’t be any external investment or the resources to help job creation.
“Likewise, the National Asset Management Agency has been established to ensure that our banking system can return to its core function of lending to business, thereby supporting employment.”
He added: “The latest assessment from the Central Bank shares the view of the Economic and Social Research Institute and others that, following last year’s tough decisions, we can look forward to the economy growing again in aggregate terms later this year. There is no reason we cannot look forward to positive year-on-year growth returning in 2011 provided we stick to the right course over the period ahead.”
Referring to the peace process, Mr Cowen said he was “delighted” at the presence of the police chiefs from both parts of the island at the conference and he welcomed the “stability” that North-South police co-operation had brought.
He stressed the need for that co-operation “to continue and to deepen, so that those who would seek to undermine everything that has been achieved will not succeed however much a minority or however misguided they may be”.
He described March 9th and April 12th as “important landmark dates” in the process of implementing the Hillsborough Agreement. He hoped that, “a renewed momentum to the devolved institutions will deliver for all the people of Northern Ireland”.
He added: “I want to thank everybody who has been involved in one way or another in all of that work. Certainly, I want to thank the commitment of the British prime minister Gordon Brown and the secretary of state Shaun Woodward, working with myself and Micheál Martin in our respective jobs as governmental representatives, working with the parties to deal with those issues.
“In the challenging economic times that we face, it is important that politics in Northern Ireland moves forward to deal with the very real threats to the economic prosperity and focuses its energy and talents on making the North the engine of growth and prosperity that it has the potential to become,” the Taoiseach said.