Fianna Fail queer pitch for Opposition

Citizen_Cutback

Liquidating the National Pension Reserve Fund for current spending has got to be the most cynical ploy that the current Government could play considering that both Labour and Fine Gael had planned to use the fund for stimulus initiatives to increase employment and growth.

The Opposition's reaction to the NPRF liquidation will be telling.

Inda and Eamonn: It's time to show what you are made of!

The electorate are watching!

jester77

Maybe I am missing something here, but does it not make sense to do this?

If I had a loan for 15,000 and had 10,000 in savings, it makes more sense to use the 10,000 against the loan and pay high interest on just 5,000. The interest any assets would be collecting would be less than the interest on the loan.

If I am a long-term unemployed in Germany, I have to use my savings before I get assistance. If I owned a home, I may even have to sell it and move into a smaller more affordable one before I get any benefits. This seems similar to the logic that is being applied to the pension reserve fund.

Citizen_Cutback

jester77 wrote: »

Maybe I am missing something here, but does it not make sense to do this?

If I had a loan for 15,000 and had 10,000 in savings, it makes more sense to use the 10,000 against the loan and pay high interest on just 5,000. The interest any assets would be collecting would be less than the interest on the loan.

If I am a long-term unemployed in Germany, I have to use my savings before I get assistance. If I owned a home, I may even have to sell it and move into a smaller more affordable one before I get any benefits. This seems similar to the logic that is being applied to the pension reserve fund.

Yes, it seems we have applied for EU Social Welfare and have to spend our savings to pass the "Means Test".

To most informed observers, the stupidity of the Germans is as obvious as their short-sightedness.

We as a nation have been forced to borrow money to pay off German Bondholders, in Irish banks, who were paid off as recently as two months ago; Now we are being also asked to sell our small "family silver" collection to pay for same.

I worked for a German multi-national for eight years. Their stock answer to most questions was: You do not need to know that!

I hope the Irish respond appropriately!

Permabear

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Bob_Latchford

Yes, it seems we have applied for EU Social Welfare and have to spend our savings to pass the "Means Test".

I like that analogy, though I wouldnt be so sure that it is IMf/EU that put the NPRF on the table.

To my mind, essentially no other country cares. They could have a whip round and knock a few percent off here or there. They havent fair enough, they are looking out for themselves, their banks and people.

Its up to Ireland what we do now in our own self interests, not those of FF, government, banks or bondholders.

Kiki10

donegalfella wrote: »

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I think you haven't been reading a newspaper in the last year? The yanks are actually improving, if you can call getting on your knees an improvement.
One passable use in a stimulus is to grant aid every home owner to the value of there negative equity. The money is therefore defusing the next land mine, while still ending up in the Banks greedy paws. The fact a lot of peoples mortgage would come down in the process would increase there spending power. Maybe not enough to make us the richest country in the world but enough to pay tesco, or there credit union bill?

Permabear

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jimmycrackcorm

The NPRF could have been pured into infrastructure programs instead which would have both ensured that the money would have gone directly into the economy and also that future generations would have benefited as opposed to paying for our mess.
Replacing school prefabs, extending the motorway network, expanding renewable energy programs, a national broadband fibre programme, building new A&E departments with enough beds all would have had great benefits. I'd specifically exclude Metro North though as airport users already have buses going through the port tunnel ( a waste of money in comparison to what the two luas lines cost).

I'd even have created a fund to do a national dragons den to help people start their own business. Encourage people to try out opportunities instead of leaving them on the dole with a sense of hopelessness.