Ireland is facing an unprecedented problem: with a budget surplus of over 8.6 billion euros (a record!), the country is wondering how to spend it…
This is a first for a country that has long been affected by poverty, but which, thanks to European aid and an attractive tax policy, has become one of Europe’s major economic powers.
Few European countries can boast this: Ireland is currently facing an almost amusing dilemma. The economy is such that the country doesn’t know what to do with its money!
With a surplus of over 8.6 billion euros, the Republic of Ireland is one of the best performers in the EU zone.
This is due to increased corporate tax revenues from multinationals based in the country, particularly in the technology and pharmaceuticals sectors.
As a reminder, Ireland is considered to be an attractive location for GAFAs.
Dublin is home to the offices of Google, Facebook, Apple and many others!
By 2023, this tax had generated 23.8 billion euros and should reach 24.5 billion euros this year!
An impressive economic success story, but a fragile one, according to the Irish Taoiseach, who is keen to point out the extreme volatility and ephemeral nature of the situation.
But how to reinvest the money? For the time being, Ireland seems more than hesitant.
In particular, it wants to focus on ecological issues, but also on pensions and infrastructure modernization.
With so much money in its hands, the risk remains of spreading itself too thinly and becoming ineffective.
The time has therefore come to be cautious, especially as upcoming elections could well distort thinking, with promises disconnected from the country’s real needs.
One thing is certain: despite its good situation, Ireland is facing colossal challenges.
Will the country choose to modernize? Should it focus on social welfare, hospitals or ecology? The question remains.
More news
