IFAC drops call for extra budget spending cuts
The Irish Fiscal Advisory Council is dropping its call for extra budget spending cuts and tax hikes.
The IFAC said that while it is no longer making the case - it is also warning against reducing the targets.
The Government is planning Budget adjustments of €3.1bn next year and €2bn in 2015.
The Council Chairman Professor John McHale believes Ireland's debt to GDP ratio will be ahead of the 3% target in 2015.
"We made a case for the need for a further €1.9bn in additional budgetary adjustment, we are no longer making the case for this additional adjustment," he said.
"Given the recent developments the margin of safety argued for by the council in previous reports has been largely achieved however the governments planned adjustments of €3.1bn in 2014 and €2bn in 2015 should not be reduced."
