Consumer spending is down 5%.
Image via Pexels.comIreland could need a €10 billion stimulus package to boost the economy because of the Covid-19 pandemic.
The Irish Fiscal Advisory Council is warning the incoming Government will have to make difficult economic decisions. It says the Covid 19 crisis has had a huge impact on Ireland and there’s exceptionally high uncertainty.
Consumer spending is down 5% while a quarter of workers are currently being supported by the State.
Appearing before the special Covid-19 Oireachtas Committee, the Advisory Council said a €10 billion stimulus package could be needed.
"To be clear, this is an illustrative amount," said Acting Chairman Sebastian Barnes.
"What's important ultimately is that the right amount is chosen and that right amount could easily be much larger than the number that we have".
The Council said numerous times during the Committee hearing that it doesn’t expect Ireland to return to the severe austerity that followed the 2008 crash.
The Advisory Council says the incoming Government will have to make difficult decisions and consider three things: our aging population, the cost of meeting climate change targets and our reliance on corporation tax receipts.
