Minister for Public Expenditure Michael McGrath said the Government is "avoiding making permanent expenditure commitments" on the back of receipts that may "prove to be temporary".

The Minister's comments follow the release of the latest Exchequer figures yesterday which show more than €16 billion in corporate tax receipts were collected up to the end of October this year.

His said there are risks and this level of receipts might not be sustained into the future.

It is important some are put away and that they are used wisely, he added.

On the issue of interest rates, Michael McGrath said the direction is "clear" in terms of monetary policy with inflation at around 10% across the euro zone, which he described as "not sustainable."

He said the ECB mandate is to get that down to close to 2% and added it is is in everyone's interests to get inflation under control.

He said it remains to be seen if this will mean living with higher interest rates for some time amid a period of deep uncertainty in terms of the global economy.

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However, he added that Ireland is in a strong position in terms of the public finances.