Final Reminer: IEA Deadline Feb 11th

The 32nd Annual Irish Economic Association Conference will be held at the Central Bank of Ireland, New Wapping Street, North Wall Quay, Dublin 1 on Thursday May 10th and Friday May 11th, 2018. Gerard O’Reilly (Central Bank of Ireland) is the local organiser (gerard.oreilly@centralbank.ie).

The ESR guest lecture will be given by Professor Wendy Carlin (University College London and the CORE project) and the Edgeworth Lecture by Professor Olivier Blanchard (MIT and PIIE).

The Association invites submissions of papers to be considered for the conference programme. Papers may be on any area in Economics, Finance and Econometrics.

The deadline for submitted articles is the 11thof February 2018 and submissions can be made through this site.

Four Cheers for Conor Skehan

On Wednesday, Conor Skehan, outgoing head of the Government’s Housing Agency, was grilled by the Oireachtas Housing Committee for the mortal sin of noticing things and speaking honestly about them. Mr. Skehan claimed that some individuals in Ireland were gaming the public housing system, in order to become eligible for public housing ahead of others. Members of the Committee, devout in their observance of the Holy Laws of political correctness,  castigated Mr. Skehan for his public remarks and the evidence he presented to justify them. They noted that it is not possible that a housing-eligible person could game the system – as PC dogma clearly states, lower income individuals are gifted with Immaculate Conception (born without sin) and can do no wrong. So the evidence that Mr. Skehan presented had to be false, and his presentation of it before the committee was proof of his fall from a PC state of grace.

On the plus side, there was at least one honest person in the Oireachtas on Wednesday.

Central Bank SME Market Report 2017 H2

The Bank’s SME Market Report for the second half of 2017 was released this week. The report can be found here.

Key results from the report include:

  • Annual gross new lending to non-financial, non-real estate SMEs in Q3 2017 is 24 per cent higher than a year ago.
  • The SME lending market has become more concentrated in the last six months, with fewer banks holding an ever larger market share.

  • The share of SMEs in Ireland reporting they did not apply for bank loans because of sufficient internal funding was 50.4 per cent in September 2017.

  • SME loan rejection rates in Ireland have increased to 13.9 per cent in September 2017 from 8.2 per cent in March 2017.

  • Interest rates for SME loans stood at 5 per cent in July 2017, high in a European context.
  • When scaled relative to domestic demand, new loan issuance to SMEs in Ireland is very low compared to European comparator economies.
  • The share of SMEs transitioning into default between the period December 2016 and June 2017 is 2.4 per cent. The highest transition rates reported in the Wholesale/Retail sector (2.9 per cent) and the South-east (3.4 per cent).

We have published the data behind each chart for the first time. The spreadsheet can be found here.