Bailout exit - Significant step on road to recovery

The Government announced yesterday that one month from today this country will make a clear break on the three-year EU-IMF bailout programme, without seeking the safety net of external precautionary funding. Thus Ireland will become the first country in the eurozone to exit a bailout.

The move should not be exaggerated or overestimated. It is just a step on the road of recovery, but it is a significant step because it marks a milestone on that road.

The Taoiseach insisted in the Dáil yesterday that the country is now in a position to fund itself on the markets, seeing that the National Treasury Management Agency has built up a cash reserve of over €20bn. As a result the country is already fully funded for 2014. Finance Minister Michael Noonan contended that it would really be pointless putting a backup programme in place when there would be no intention of availing of it at any time during the next year.