The Minister for Finance, Paschal Donohoe TD and the Minister for Public Expenditure and Reform, Michael McGrath TD today (Monday) attended the informal Economic and Financial Affairs Council (ECOFIN), hosted by the Slovenian Presidency from Ljubljana by videoconference.
At ECOFIN, European Finance and Economic Ministers exchanged views on the implementation of the Recovery and Resilience Facility and considered the Council Implementing Decisions of Ireland and Czechia for adoption.
Ireland submitted its draft Recovery and Resilience Plan for assessment by Commission on 28 May 2021. Following detailed discussions, on 16 July the Commission completed its assessment as required by the Recovery and Resilience Facility Regulation, and published Ireland’s draft Council Implementing Decision.
Speaking following the meeting, Minister Donohoe said:
“I would like to thank the Commission for the high level of engagement they provided Irish officials while preparing our Plan. Whilst our plan may be small compared to many other member states, it was still a significant logistical undertaking and it was of great help that the Commission was so available, at every level.
Now that the hard work of putting the plan together has finished, we are looking forward to translating the Plan into projects that have real benefits for our citizens. This will be important for all of us as we take the steps to rebuild our economies and societies and leave the effects of the virus behind us.”
Minister McGrath said:
“Ireland recognises the critical role that Next Generation EU and the Recovery and Resilience Facility will play in helping to repair the immediate economic and social damage brought about by the pandemic. But more than that, they will enable us to move beyond the pandemic and rebuild the European economy. For Ireland, as a successful open and global economy at the heart of the European Union, that is key.
The overall objective of Ireland’s Plan is to contribute to a sustainable, equitable, green and digital recovery, in a manner that complements and supports the Government’s broader recovery effort. Extensive work was undertaken to determine the projects that have been included in Ireland’s Plan. Having secured approval of our Plan it will be welcome to see these crucial projects become a reality thanks to EU funding.”
The formal adoption of Ireland’s plan will take place following the meeting by way of written procedure.
Notes to Editors
In July 2020 the European Council, made up of the Heads of State and Government of each of the EU Member States, adopted a €750 billion recovery package for Europe. This package, NextGenerationEU, is Europe’s shared response to the public health and economic and social crisis caused by COVID-19. NextGenerationEU is an ambitious and common recovery package that will complement and support each Member State’s own national response to the crisis.
At the heart of the NextGenerationEU lies the Recovery and Resilience Facility. The aim of the Facility is to address the economic and social impact of the pandemic and make European economies and societies more sustainable, resilient and better prepared for the challenges and opportunities of the green and digital transitions.
Ireland will receive approximately €915 million in grants from the Recovery and Resilience Facility. These grants will be used to support investments between now and mid-2026. A further set of grants will be allocated to each Member State in 2023, taking into account economic developments between now and then.
In order to avail of funding from the Recovery and Resilience Facility, each Member States must prepare a National Recovery and Resilience Plan.
Ireland’s Plan has been developed by the Government over recent months, taking into account the requirements for the Recovery and Resilience Facility for a minimum of 37% of expenditure to be on climate and 20% on digital investments and reforms. It also took account of the need to address investment and reform challenges identified in relevant Country Specific Recommendations made to Ireland by the EU in recent years; and the importance of alignment with national economic and investment plans, in particular the Economic Recovery Plan. The development of the Plan was also informed by a public consultation process.
The overall objective of Ireland’s Plan is to contribute to a sustainable, equitable, green and digital recovery effort, in a manner that complements and supports the Government’s broader recovery efforts. The NRRP is aligned with domestic policies such as the Economic Recovery Plan and the ongoing review of the National Development Plan.
On 28 May 2021 the Government submitted Ireland’s draft National Recovery and Resilience Plan to the European Commission.
In line with EU regulatory requirements, on 16 July the European Commission completed its evaluation of the Plan and made a positive recommendation to the Council of the European Union.
Irelands Council Implementing Decision was considered today for adoption by Ministers. Following adoption, the Commission signs grant and loan agreements (Ireland has not made an application for a loan under the RRP) with the respective Member States, commits resources and, where relevant, proceeds with the payment of the pre-financing (up to 13% of total grants and loans) within two months.
This is the second time that Slovenia has held the Presidency of the Council of Europe.
ENDS
Contact:
Aidan Murphy, Press Adviser, Department of Finance – 085 886 6667
Brian Meenan, Press Officer, Department of Finance – 087 219 8857
Claire Godkin, Press Officer, Department of Public, Expenditure & Reform – 085 806 3969