Ireland's preparations for a potential no-deal Brexit have left the country better placed to face the coronavirus crisis, Prime Minister Leo Varadkar said Thursday.
"Because of the work our ministers did to ensure that we would be able to withstand the worst effects of a no-deal Brexit, we are now in a better position than if we were starting to think about some of these issues for the first time," he said.
Britain's 2016 vote to leave the EU caused unprecedented turmoil in Ireland and left it facing the prospect of a "no-deal" split between London and Brussels.
Forecasters suggested such a scenario would have caused huge economic damage and the likely emergence of a hard border with Northern Ireland.
That would have severed vital Irish supply routes and potentially reignited the sectarian conflict known as "The Troubles" which killed 3,500.
"The work spent thinking about supply lines, about the impact of a shock to the economy, the money we set aside through prudent management of our finances -- all of this is now being deployed against a different kind of national threat," Varadkar told the Dail, Ireland's lower house of parliament.
"We did not expect or predict a pandemic of this kind, but we were prepared for an economic crisis, and we are in a much stronger position today as a result." A Brexit withdrawal deal was eventually secured and Britain left the EU on 31 January.
Varadkar said the period of no-deal drama seemed like "simpler times" compared to the COVID-19 crisis.
The Economic and Social Research Institute (ESRI) predicted Thursday that if government pandemic measures last 12 weeks, the Irish economy would slide into recession, shrinking 7.1 percent in 2020.
Over 350,000 could also lose their jobs and the government budget could slip from a surplus into a deficit of 4.3 percent of total economic output.
Schools and universities as well as vast swathes of non-essential businesses have been closed by government order, whilst gatherings and events have also been banned across Ireland until April 19.
There have been nine COVID-19 related deaths in Ireland and 1,564 confirmed cases.
Disclaimer: No Business Standard Journalist was involved in creation of this content
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors


Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share


Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor


Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements


Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
