- Government announces fiscal package estimated to cost €300 million per week for the duration of the Covid-19 crisis, including personal, business and self employed support
24th March 2020 (Updated 25th March) :
The Government announced a fiscal package estimated by the Minister for Finance as costing potentially €300 million a week for the duration of the Covid-19 pandemic. Details can be accessed: here
. The Minister for Finance, Paschal Donohoe, estimated that the weekly potential cost to the Exchequer of the measures at €300 million a week, which would amount to €3bn in the next 10 weeks. Details of financing for businesses have been published by the banks: See: AIB here
; Bank of Ireland here
, Ulster Bank here
; KBC here
; and Permanent TSB here
. The Banking and Payments Federation (BFPI) issued this statement
on the Irish monetary and fiscal policy action scheme worked out with the Government and Central Bank.
The USA's Secretary of the Treasury Steven Mnuchin (March 23rd) announced, as part of a $4 trillion package, a scheme to support businesses with up to 500 employees in which the US Small Business Administration (SBA) administers loans to affected firms taking up the Government's fiscal aids to salaries that loans will be forgiven, i.e. repaid by the Government to the banks participating. For a comprehensive description of the full range of monetary tools being used by the US authorities at present see this.
- The plight of Castletownbere is a case study of how innovative and quick acting fiscal policy can protect the economy in the Covid Crisis
21st March 2020:
The Irish Examiner report that Castletownbere Fishermen's Co-op
with 500 livelihoods is in threat of closure because fresh fish markets have collapsed is a case in point of how the Irish Government can use its top rank credit rating to implement "All that it takes"
fiscal policy. At risk is not just this important part of the economy's infrastructure, with 400 self employed fishermen and 100 PAYE taxpayers in the processing plant. It is a case study in microcosm of enterprises and jobs that are in trouble the length and breadth of the Republic right now.
- State aid: European Commission adopts Temporary Framework to enable Member States to further support the economy in the COVID-19 outbreak
20th March 2020, 00.01 hrs: Press Release from the European Commission
- Permanent TSB details the liquidity easing measures it will offer personal and SME customers, including increased credit card limits, overdrafts and stocking loans for shops
18th March 2020, 1700 hrs: In a statement after the meeting the CEO of Permanent TSB, Jeremy Masding said
PTSB "along with the other Retail Bank CEOs, met this afternoon with the Minister for Finance, Mr. Paschal Donohoe TD, in the context of the current Covid-19 crisis".
- Revenue Announces tax deferment for stamp duty on credit cards to July
18th March 2020, 1730 hrs: In a statement the Irish Revenue Commissioners said: "Revenue changes the collection of stamp duty on credit cards to July. Today (18/03/2020), in light of the Minister for Finance, Paschal Donohoe, setting out plans to defer the collection of stamp duty on credit cards, Revenue has confirmed that the stamp duty on credit cards will not be collected until 1 July 2020".
- Scale and complexity spark moves to mitigate System threats
With an influx of new authorisation applications, the scale and complexity of the Irish financial system has changed considerably as a result of the UK leaving the EU, the Central Bank’s Deputy Governor has said.
- CBI to set Systemic Risk Buffer
The Minister for Finance has confirmed that the power to set a Systemic Risk Buffer (SyRB) is to be granted to the Central Bank, which will complete the macroprudential framework for bank capital.
- Investment Funds 2019: Foreign Exchange (FX) – the asset class
The importance of FX risk management to institutional investors has grown significantly in recent years writes RBC Investor & Treasury Services’ Roger Exall. He says this has been primarily due to currency volatility caused by geopolitical events coupled with further expansion into new markets, whether that be mature, emerging, and/or frontier. He says that not all institutional investors are implementing an effective FX strategy to measure and manage the associated risks, while ensuring they are optimizing execution efficiency.