4 11 2008, Tuesday:
The EU Commission will declare Ireland to be in an excess deficit situation. * Commenting on the move, Taoiseach Brian Cowan stated that as Ireland has a very high capital investment programme that the Government will continue with, “that’s a big component of our borrowing.”
In fact, the Government stated last September that its budget deficit may surge past the European Union limit this year as the economy enters recession. This would see Ireland face the threat of EU sanctions for breaking Commission rules over the relationship between a government’s budget deficit and the size of the economy.