The Government is continuing preparations for a new economic recovery plan to be published in the New Year - with the economy now expected to shrink by significantly more than had been forecast at the time of the Budget.
The Minister for Finance, Brian Lenihan told the Dail last night that he expected the overall contraction to be somewhere in the region of 3% to 4%.
The Minister said we were living in a time of unprecedented economic difficulties and the changed circumstances that had occurred in a short period of time had to be addressed.
He said the Taoiseach had made clear that he was preparing a programme for 'economic stabilisation and renewal'. That programme would be submitted to the social partners, Mr Lenihan said.
