The outlook for economic recovery remains “highly uncertain” over the medium term, a new International Monetary Fund report has warned.
The staff report concludes that the Government has achieved strong policy implementation of the bailout programme so far, and it refers to the fact that market access has markedly improved.
But in a relatively downbeat assessment, the report also flags as as significant hurdles declines in domestic demand, high public and private debt, ongoing problems with profitability and lending in the banking sector.
Referring to inadequate progress by banks, the IMF staff appraisal is that a sharp improvement is needed in dealing with non-performing loans. This is “critical to strengthen prospects for recovery”, it has stated.
Seems Chomsky was being optimistic.
Yesterday: Specialist Eviction Judges, You Say?
(Sam Boal/Photocall Ireland)