Donohoe: Ireland will post budget deficit in 2022 despite recovery

Exchequer recorded a €4.3bn improvement in the State’s finances in the first three months, compared to the same period in 2021

Finance Minster Paschal Donohoe and Public Expenditure Minister Michael McGrath at a press conference on the publication of first-quarter  exchequer returns at the Department of Finance on Wednesday. Picture: Gareth Chaney/ Collins 

Ireland will post another budget deficit this year despite a €4.3bn improvement in the State’s finances in the first three months, compared to the same period in 2021.

Confirming the likelihood of a deficit, Finance Minister Paschal Donohoe said the improved exchequer balance was driven by strong growth in tax revenue, with tax receipts of €17.2bn in the first quarter, up €4.2bn, or 31%.