EU urges further budget oversight for structural issues

Taoiseach Enda Kenny will be asked to agree to another layer of supervision over Ireland’s budget at this week’s EU summit just as the country emerges from the bailout programme.

There may also be an incentive of cheap loans, grants, or guarantees to encourage participation in a German-inspired contract, but Ireland and all but four eurozone countries appear likely to be excluded from it until the Government gets the budget deficit under 3%.

Oversight of Ireland’s accounts will continue as each of the three main creditors — the European Commission; the EU states, represented by the European Stability Mechanism; and the IMF — will make inspections up to four times a year to ensure the Government is making provision to repay them.