Economist urges investment bank

AS Irish citizens face into a decade of belt-tightening, Friends First chief economist Jim Power wants the Government to proceed with plans for a strategic investment bank to help the SME sector finance job-creating expansion plans.

Mr Power said further cutbacks are the dual realities facing every Irish citizen for the best part of a decade despite growing exports.

He said: “While the export recovery is good news, this growth has been driven by higher productivity and cost-cutting, rather than employment creation. A recovery in domestic demand is essential for employment creation and stronger public finances.