Something to keep in mind when everyones mad to spend corporate tax surpluses that could dry up very quickly.
Thank you for the link to a page that provides me with three pop-ups but no way to read the shitting article. Good lad, OP.
Good thing we blew 60bn on the doctor t and Mickey lockdown
Public debt increased by more than 11 per cent at the end of 2022 to around €44,000 for every person in the country, which is one of the highest per capita debt burdens in the world, figures from the Department of Finance show.
The State’s debt stood at €226 billion, up from €203 billion just prior to the pandemic. This is an estimated 86 per cent of national income.
Minister for Finance Michael McGrath published his department’s sixth annual assessment of public indebtedness. He said the key message from the report is that the level of indebtedness remains high despite the return of the debt-income ratio to a downward trajectory.
The report said there are “significant risks” to the public finances, with both immediate and medium-term challenges pressuring the State’s fiscal position, and “clear vulnerabilities” relating to our dependence on corporation tax receipts.
The report further underlined the need to manage the national debt in a prudent manner, ensuring public finances are in a strong position to withstand these challenges.
“The analysis published by my department today highlights the risks now facing our public finances, following the unavoidable increase in public indebtedness during the pandemic,” said Mr McGrath. “The war in Ukraine and the associated energy price shock have induced a cost-of-living crisis, placing renewed pressure on the State’s fiscal position.
“We face these challenges with elevated debt levels; Ireland continues to have one of the highest per capita debt ratios in the developed world. Several structural features of Ireland’s debt, with the majority of debt locked in at fixed prices and relatively long maturities, insulate us somewhat from the changing interest rate environment brought about by these shocks.
“Nevertheless, the refinancing of our existing debt over the medium-term will most likely lead to increased debt-servicing costs, the first call on the public finances.”
Looking ahead, he said the Government is also aware of the major challenges on the horizon. “The need to finance an ambitious infrastructural plan, as well as shifting demographics and the transition of economic activity to carbon-neutrality, will impose large costs on the public finances,” he said.
“Additionally, the public finances are vulnerable to a shock to corporation tax receipts or to the multinational sector in Ireland generally, which could potentially result in a very large deficit.
“It is essential that the public finances stand ready to deal with these challenges. This report underlines the need for prudent management of debt and the rebuilding of our fiscal buffers. Government is committed to cultivating a dynamic and sustainable economy, while ensuring our ability to meet the fiscal challenges that lay before and ahead of us.”
National debt is not the same as personal debt, this will never be paid back as it’s effectively written off by inflation over obscene periods.
It’s the interest rate that is the one to watch, we borrowed a lot of money basically for free which is fine. It’s when/if those interest rates rise it’s time to be concerned.
Anyhoo, we could be balls deep in debt but if the interest rate is good, there’s nothing to worry about
This is why I’m voting SF
I make give or take, it works out, with expenses at about 140,000 a year and I pay 30.3 percent tax on that so it’s about a net 100,000. And out of that 100k I run a home in Dublin, Castlebar and Brussels.
Don’t know man, been paying an average € 1500 income tax every month for the last 4-5 years!
I thought I had paid mine.
But I guess the “angels” in projects across the road are not pulling their weight!
I’ll work harder!
Wait, do I owe 44k? Because someone else got it, not me… *off the find the wife*
There you go next generation. Hold my bags.
At low interest rates in a high inflation period.
Not saying the government are doing a good job spending it of course
So about that 5B surplus….
This is such bollocks, Irelands national debt is not atypical compared with any other developed countries.
We actually are 20th in debt per capita, there are some anomalies in that with micro states but we by no means heavily indebted.
Well, at 3% interest and 9% Inflation this amount goes down without anybody doing anything….
Dear government, fix the healthsystem, public transport and build houses….
Who is owed this money?
We have a lot of debt because of Covid and legacy from the bailouts. What I want to know is when the upper tax rate is coming down, so we can keep more of our money. I’m tired of living in a fucking socialist republic.
Interest paid as a percentage of government income is what we want to keep an eye on, as that speaks to affordability. Ours is one of the lowest in Europe and because most of our debt is fixed at low interest rates its unlikely to rise over the next few years.
Plus its quite unlikely we’ll be doing ‘any’ borrowing over the next few years, except to keep markets liquid and rollover debt. Think we’ve about €20bn cash in hand.
So absolute debt will be static – or falling dramatically as a percentage of the size of the economy – for a few years, and all at the same time as we spend massively on infrastructure.
Its a fucking phenomenal situation. Long may it continue.
The puzzling thing is how a journalist managed to take that situation and write a negative article about it.
20 comments
Congrats everyone
Here we go again
Something to keep in mind when everyones mad to spend corporate tax surpluses that could dry up very quickly.
Thank you for the link to a page that provides me with three pop-ups but no way to read the shitting article. Good lad, OP.
Good thing we blew 60bn on the doctor t and Mickey lockdown
Public debt increased by more than 11 per cent at the end of 2022 to around €44,000 for every person in the country, which is one of the highest per capita debt burdens in the world, figures from the Department of Finance show.
The State’s debt stood at €226 billion, up from €203 billion just prior to the pandemic. This is an estimated 86 per cent of national income.
Minister for Finance Michael McGrath published his department’s sixth annual assessment of public indebtedness. He said the key message from the report is that the level of indebtedness remains high despite the return of the debt-income ratio to a downward trajectory.
The report said there are “significant risks” to the public finances, with both immediate and medium-term challenges pressuring the State’s fiscal position, and “clear vulnerabilities” relating to our dependence on corporation tax receipts.
The report further underlined the need to manage the national debt in a prudent manner, ensuring public finances are in a strong position to withstand these challenges.
“The analysis published by my department today highlights the risks now facing our public finances, following the unavoidable increase in public indebtedness during the pandemic,” said Mr McGrath. “The war in Ukraine and the associated energy price shock have induced a cost-of-living crisis, placing renewed pressure on the State’s fiscal position.
“We face these challenges with elevated debt levels; Ireland continues to have one of the highest per capita debt ratios in the developed world. Several structural features of Ireland’s debt, with the majority of debt locked in at fixed prices and relatively long maturities, insulate us somewhat from the changing interest rate environment brought about by these shocks.
“Nevertheless, the refinancing of our existing debt over the medium-term will most likely lead to increased debt-servicing costs, the first call on the public finances.”
Looking ahead, he said the Government is also aware of the major challenges on the horizon. “The need to finance an ambitious infrastructural plan, as well as shifting demographics and the transition of economic activity to carbon-neutrality, will impose large costs on the public finances,” he said.
“Additionally, the public finances are vulnerable to a shock to corporation tax receipts or to the multinational sector in Ireland generally, which could potentially result in a very large deficit.
“It is essential that the public finances stand ready to deal with these challenges. This report underlines the need for prudent management of debt and the rebuilding of our fiscal buffers. Government is committed to cultivating a dynamic and sustainable economy, while ensuring our ability to meet the fiscal challenges that lay before and ahead of us.”
National debt is not the same as personal debt, this will never be paid back as it’s effectively written off by inflation over obscene periods.
It’s the interest rate that is the one to watch, we borrowed a lot of money basically for free which is fine. It’s when/if those interest rates rise it’s time to be concerned.
Anyhoo, we could be balls deep in debt but if the interest rate is good, there’s nothing to worry about
This is why I’m voting SF
I make give or take, it works out, with expenses at about 140,000 a year and I pay 30.3 percent tax on that so it’s about a net 100,000. And out of that 100k I run a home in Dublin, Castlebar and Brussels.
Don’t know man, been paying an average € 1500 income tax every month for the last 4-5 years!
I thought I had paid mine.
But I guess the “angels” in projects across the road are not pulling their weight!
I’ll work harder!
Wait, do I owe 44k? Because someone else got it, not me… *off the find the wife*
There you go next generation. Hold my bags.
At low interest rates in a high inflation period.
Not saying the government are doing a good job spending it of course
So about that 5B surplus….
This is such bollocks, Irelands national debt is not atypical compared with any other developed countries.
We actually are 20th in debt per capita, there are some anomalies in that with micro states but we by no means heavily indebted.
This is not news.
https://en.m.wikipedia.org/wiki/List_of_countries_by_external_debt
Well, at 3% interest and 9% Inflation this amount goes down without anybody doing anything….
Dear government, fix the healthsystem, public transport and build houses….
Who is owed this money?
We have a lot of debt because of Covid and legacy from the bailouts. What I want to know is when the upper tax rate is coming down, so we can keep more of our money. I’m tired of living in a fucking socialist republic.
Interest paid as a percentage of government income is what we want to keep an eye on, as that speaks to affordability. Ours is one of the lowest in Europe and because most of our debt is fixed at low interest rates its unlikely to rise over the next few years.
Plus its quite unlikely we’ll be doing ‘any’ borrowing over the next few years, except to keep markets liquid and rollover debt. Think we’ve about €20bn cash in hand.
So absolute debt will be static – or falling dramatically as a percentage of the size of the economy – for a few years, and all at the same time as we spend massively on infrastructure.
Its a fucking phenomenal situation. Long may it continue.
The puzzling thing is how a journalist managed to take that situation and write a negative article about it.
Just sell 51% of the Country to Elon