It seems incredible that this could happen but Ireland's finances are 3.6 billion euros better off thanks to an accounting error.
Yesterday it was revealed that the country's government debt is actually 2.3% lower when it was discovered that a payment between state agencies had been double counted. Ireland's Department of Finace was first out of the gate with news of the unexpected windfall.
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In a statement to the press the department of finance said: 'Previously, the National Treasury Management Agency (NTMA) acted as agents for the Housing Finance Agency (HFA).
'Since late 2010 the NTMA have loaned directly to the HFA. These loans appear as assets in the NTMA accounts and liabilities in the HFA accounts.
'The liabilities of the HFA are included in general government debt; the corresponding assets of the NTMA have been included in the 'liquid assets' of the NTMA, which are also part general government debt - effectively a double count,' the statement continued.
'Removing this double count reduces the estimate of 2010 general government debt by 3.6 billion euros or 2.3% of GDP,' the statement concluded.
On Friday the Irish government will publish its financial plan for the next three years.
9 Comments
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Switch to the desktop site to post a comment.solyeant | Nov 03, 2011, 10:27 AM EDT
Tips on accounting for business or for countries First understand what you are doing the corollary may hwover be the inverse and consolidated balance sheet for all ireland may result in something entirely spurious but I suggest we create liqiudity by creating items like the Cliffs of Moher or the White Strand or Croagh patrick at a price This would inflate the assets of ireland and hence decrease its liability to go bankrupt I want O higgins to concentrate on this concept since if they can't get the sums right at least they can have fun putting a value of the Bloody Forelands or Errigal with or without the screed. Think about it we need green field ideas not staid accounting as per bean counting state operatives
sirpeter | Nov 03, 2011, 12:20 AM EDT
Lads it can happen very easy.You think you're broke and you reach into your pocket to pull out your handkerchief to have a good cry and 5 billion bucks fall out.It happens to me all the time.
mirxe77 | Nov 02, 2011, 04:17 PM EDT
Fancy paperwork again. Show us the money.
patriciarea | Nov 02, 2011, 02:07 PM EDT
Luck of the Irish, right... sounds like the knuckleheads we have over here in the US!
Sparklet | Nov 02, 2011, 12:30 PM EDT
Amazing what you can find down the back of the sofa.
cillowen | Nov 02, 2011, 11:31 AM EDT
Put people to work with the bonanza - can't leave that job to sharks - what is needed is a st. teresa human to execute.
Portia777 | Nov 02, 2011, 11:22 AM EDT
God, these so called professionals sure know how to complicate things, don't they. Sure what difference is 5 bilion anyway? It is simply paper created out of thin air. These elite do not care. Why sould they. We allow them away with crimes all the time.
irishcoffeekid | Nov 02, 2011, 09:36 AM EDT
Oh for the love of god!!! Seriously what the hell hope has the country got if the frickin accountants can't even do the accounts right. Fire the lot of them and hire small town accountants who manage money better than these dimwits. Seriously between idiotic politicians, fraudster bankers and corrupt property tycoons, the country is screwed. You'd be better off with housewives running the government, the banks and the property market - they at least are able to make ends meet, stay within their budget and keep the family happy. THE REST OF THEM ARE DIMWITS!!!
LoyalCitizen | Nov 02, 2011, 09:21 AM EDT
That's what the dimwits running Ireland get for using opinions and not reading, writing or arithmetic.