GDP Growth Trade Canada and UK Trade GDP / Sector Debt to GDP Deficits/Surplus Business Taxation Foreign Direct Investment

1. Economic and Government
Policies – Ireland – June 25,
2016
By: Paul Young, CPA, CGA

2. • This presentation is one perspective when it comes to government
and economic policies for the Ireland

3. Paul Young - Presenter
Bio
• CPA/CGA
• 25 years of experience in Academia, Industry and Financial solutions
• Youtube Channel -
https://www.youtube.com/channel/UCAArky1bAXPSuV2NLtUnyLg

4. Agenda
• GDP Growth
• Trade
• Canada and UK Trade
• GDP / Sector
• Debt to GDP
• Deficits/Surplus
• Business Taxation
• Foreign Direct Investment

5. GDP / Growth - Ireland
• The Irish economy is projected to continue its robust expansion in 2016 and 2017 according to
the OECD’s latest "Economic Outlook."
• The report claims that both exports and business investment, which have surged in recent times
due to temporary impetus by multinational enterprises, will moderate but remain solid. Activity
in the domestic sector will stay firm and employment will grow steadily.
OECD also claim that wage growth will be strong as the labour market tightens and that
household consumption will be solid supported by labour earnings growth and tax cuts.
Commenting on the report, Merrion Stockbrokers said, "The Government is assumed to remain
on track towards its medium-term goal of balancing the budget. The overall balance is projected
to improve, but owing largely to cyclical conditions. Strong revenue growth and low interest
costs should be primarily used for a more rapid reduction of still high public debt."
• They added, "Structural reforms should prioritise getting more people back into work by
enhancing activation policy, which would spread the benefits of increased prosperity widely
across society. As regards the actual GDP projections, the OECD is now looking for 5.0% growth
this year and 3.4% in 2017."
Source: https://www.businessworld.ie/economy/OECD-predict-Irish-GDP-growth-of-5-0-in-real-
terms-this-year-564432.html

6. Ireland / Trade

7. Canada and Ireland Trade
Source: http://www.canadainternational.gc.ca/ci-ci/assets/pdfs/fact_sheet-
fiche_documentaire/Ireland-FS-en.pdf

8. GDP by Sector – Ireland
Source: http://www.tradingeconomics.com/ireland/gdp

9. Debt to GDP – Ireland
• http://www.tradingeconomics.com
• Ireland is decreasing its
government debt at the fastest
rate in the euro zone, according
to new data from Bloomberg.
• The country is expected to slash
its sovereign debt-to-GDP ratio
by an estimated 18 per cent,
from 2014 to the end of 2016, to
almost 99 per cent.
• However, on a per capita basis,
Ireland’s debt levels remain
extremely high, with Irish people
still carrying the second highest
debt burden in the world, second
only to Japan.
Source:
http://www.irishtimes.com/busines
s/economy/state-s-debt-ratio-
falling-at-fastest-rate-in-the-euro-
zone-1.2584911

10. Surplus (Deficits) / GDP
• Since 2009, when its deficit peaked at
around 11.5% of GDP (excluding one-
off measures to support its financial
sector), Ireland's general government
balance has steadily improved. In
December 2013, Ireland exited its
economic adjustment programme. The
deficit dropped to 3.8% of GDP in 2014
and to2.3% of GDP in 2015 (1.3% of
GDP if a one-off transaction is
excluded).
• The Commission's 2016 spring forecast
projects deficits of 1.1% of GDP in
2016 and 0.6% of GDP in 2017 under a
no-policy-change scenario. The deficit
is thus set to remain below the 3% of
GDP reference value over the forecast
horizon.
Source:
http://www.consilium.europa.eu/en/pres
s/press-releases/2016/06/17-cyprus-
ireland-slovenia-deficits/

11. Taxation – Policies – Ireland
Source: http://www.irishtimes.com/business/economy/ireland-jumps-to-7th-place-in-world-
competitiveness-rankings-1.2666261 or http://www.pwc.ie/media-centre/press-release/2016/2016-
pwc-ireland-continues-to-be-most-effective-country-in-the-EU-in-which-to-pay-business-taxes.html

12. Foreign Direct Investment – Ireland
• Ireland continues to lead the world in attracting high-value foreign direct
investment (FDI) projects, according to IBM’s 2015 Global Locations Trends
report.
• This is the fourth year that Ireland has been named as the top-ranking destination
by quality and value of investments. It heads a list that also includes Switzerland,
Sweden, Denmark, Lithuania, the Netherlands, Hong Kong, Finland, India and
Germany.
• “(Ireland) continues to attract investment projects in industries characterized by
high knowledge intensity and economic value added, such as life sciences and
information and communication technology (ICT),” the report said.
Source - http://www.irishtimes.com/business/economy/ireland-still-ranked-first-
for-attracting-high-value-fdi-1.2352402

13. Contact/other sources
• Austerity - http://www.slideshare.net/paulyoungcga/austerity-
measures-do-they-work
• Contact: paul_young_cga@Hotmail.com