Ireland needs pension reforms, says EU

IRELAND needs further reforms in healthcare and pensions if the economy is to survive the impact of an aging population in the long run, the European Commission has warned.

Ireland was one of 11 countries whose stability programmes were evaluated by the commission yesterday. It said Spain and Ireland were good examples of fiscal policies complying with the Stability and Growth pact designed to maintain a healthy euro.

In the short term Ireland's economic outlook is excellent, but an ageing population poses real problems long-term. This is being partly offset by money being put into the National Pensions Reserve Fund together with a low debt level.