BYRNE: EXECUTIVE MUST ACT ON THE ECONOMIC CHALLENGE AHEAD!!

The current state of the Northern Ireland economy is so fragile that 2013 could spell the end of many small and medium sized businesses particularly in retailing, construction and the service sector. Only recently, we have learned of more construction companies in West Tyrone going out of business, and more retail business ceasing trading in town centres such as Strabane. The double dip recession now being endured by many in business is leading to more bankruptcies and increased unemployment throughout our communities.

The austerity measures in terms of increased charges for public services and less public sector capital projects being initiated means that the downward spiral of the local economy is only adding to the already very high levels of unemployment and reduced economic activity locally. The big challenge now is for the Northern Ireland Executive to manage its financial resources more effectively in order to focus on some regeneration and targeted capital works programmes to create a local economic stimulus, particularly for the construction industry. The test now for the Executive is to see if regional Government decision making can be perused more vigorously in order to get better economic performance.

 Tackling rising unemployment is the biggest challenge ahead for politicians and Government agencies. The time is now right for brave and decisive executive decisions in order to tackle economic challenges facing the people of the North. Banking restrictions in lending continues to cripple local businesses because working capital credit is being reduced by local banks preventing many small businesses from growing or increasing employment. The vicious circle of austerity cuts and restricted bank lending is almost guaranteeing a double dip recession outcome with all the adverse consequences.