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Following a careful and thorough assessment of all of the available options, and following a broad consultation process, the Irish Government has today decided that Ireland will exit the EU/IMF programme in December as planned and without a pre-arranged precautionary credit facility.

The Irish Government’s assessment is that the best option for Ireland is to exit the programme as planned in December without a pre-arranged backstop for a number of reasons, including:

• The market and sovereign conditions are favourable towards Ireland with the country returning to the markets in 2012, holding over €20 billion in cash reserves at year end which we can use to ensure that we can meet our maturing commitments and funding costs till early 2015 and Irish sovereign bond yields at historically low levels;
• The public finances are under control in Ireland comfortably in line with EDP targets. Ireland is targeting a deficit of 4.8% in 2014 which is within the 5.1% EDP target and will deliver a primary balance or small surplus. The Government is committed to reducing the deficit to less than 3% in 2015 and putting the debt ratio on a downward path.
• The two pack, the six pack and the stability treaty, the introduction of the ESM, and the major efforts by the ECB to do whatever it takes to safeguard the currency, further support our efforts to make a sustainable and durable return to the markets.
• Domestic and international economic conditions are improving, monetary policy decisions are conducive to exit and confidence and sentiment towards Ireland has improved considerably in recent months.

Read Taoiseach Enda Kenny's statement to the Dáil

.