The recession bug seems to bite continually, un-exhaustively, unmercifully even to the Irish peoples. Even as the Irish government puts on a brave face assuring their determination and commitment to sustain the economy, the reality is that the issue is grim with a 9.5 percent general government deficit.



The future of the country is at the brink of collapse as the budget fails to add up to the infrastructural, Socio economical and service needs of the nation. The challenge is enormous that the need to have every Irishman put his own weight in trying to alleviate the crisis is much needed now than never before.

The question also asked is if the government is ready to make the hard decisions to stabilize and economically sustain public coffers an essential precursor to the rejuvenation of the economy. There is a call by the government that they will offer a report on safeguard measures soon.

The government's target revenue collection of ?37 billion for this year is now viewed with trepidation and as too optimistic. The main reason is the first two months deficit of ?2 billion.

The first two months' tax receipts were ?5.76 billion from ?7.56 billion in the same duration in 2007 a deep slump of 24 per cent.

17 per cent drop on Value Added Tax at ?2.25 billion and a 7 per cent slump on income tax at slightly above ?2billion.

Another massive decline is the accumulative collection of VAT and excise duties at a 21 per cent drop down by ?755 million compared to last year's final two months.

?613 million were for the capital and stamp duties. These are indicators solely related to tightening in real estate a once lucrative investment opportunity.

Rise in the unemployed margins created the fall in income tax domino effect. This by extension led to 131 million rises in public spending as 188 million was the figure of a heightened social welfare spending as no sustainable jobs were available.

The government will also be forced to cut back on some expenses to ensure that only those that are absolutely necessary are projected on the budget report.

The bank lending system together with its operational policy must also be reviewed because an inefficient weakened bank can only go so far. The government admission that things are not looking good should therefore be the harbinger for collective and responsible effort to combating the tax problem.

Everyone needs to be brought on board, from the banks to the industrial sector to the private sector, financial experts, workers and the government to come out with clear solutions in this bid to sustain the Irish economy.

As the government ably states, everyone should show vigilance and good will to unable the country weather the storm. That none should be left behind whining or lazing about especially when there is a lot to do.