Barroso repeats Ireland- Iceland comparison

José Manuel Barroso: euro has saved Ireland from worst

JAMIE SMYTH

EUROPEAN COMMISSION president José Manuel Barroso has repeated his view that Ireland would be in the same position as Iceland if it were not a member of the euro zone.

“The situation in the euro area countries would be much worse and much more difficult if we didn’t have the euro. I always mention the case of Ireland, comparing it to Iceland, so this is indeed a great demonstration of the success of the euro area,” said Mr Barroso yesterday in comments to the media that are likely to anger Taoiseach Brian Cowen.

Last month Mr Cowen rejected the comparison made by Mr Barroso at the World Economic Forum in Davos between Iceland, which is effectively bankrupt and has required an IMF led bailout, and Ireland.

“Those comparisons are not accurate. Ireland has seen 12, 13 excellent years, one better than the next,” said Mr Cowen when asked to comment on the comparison.

He added he would not accept “badmouthing of Ireland”.

However, the first politician to reflect on the comparison between Ireland and Iceland was Minister for Foreign Affairs Micheál Martin, who told The Irish Times last October: “We can see the difficulties that Iceland is having as a country that is on its own.

“This suggests that being at the heart of Europe is far more preferable than being on the margins of Europe and going the isolationist route ... These are issues for us to reflect on domestically.”