EU official urges caution on public spending hike

A senior EU finance official has told Government not to increase public spending too soon if it wants to prevent a fresh boom and bust cycle.

European Commissioner for economic and financial affairs, Pierre Moscovici, made the comments during the latest Dáil finance committee meeting yesterday.

Speaking to the cross-party body before separate “courtesy” meetings with Finance Minister Michael Noonan and Tánaiste Joan Burton, the former French government minister said the outlook for Ireland’s economy is “very impressive” after “astounding” recent results.