Brian Lenihan Jnr (Dublin West, Fianna Fail)

I congratulate Deputy Noonan on his appointment as the principal Opposition spokesperson on finance. I cannot wish him well in the political sense but I congratulate him on his appointment and I look forward to engaging with him because I am conscious he has always been a champion of the tradition of robust debate in the House, which is, I believe, a good tradition.

The Members may wish to note some interesting figures released today by EUROSTAT. In its league table of EU growth rates for the first quarter of this year, Ireland has jumped to the top. Naturally, it is important to keep this in perspective given the severity of the downturn the country has experienced during the past two years. It is too early for the "Hallelujah" chorus. However, I suggest equally, that the dirge that comprises this Fine Gael motion is distinctly out of tune with the reality of what is happening in our economy.

Last December, I outlined in my Budget Statement that the worst of the recession was over. Last week, the Central Statistics Office confirmed this is the case. GDP increased by 2.7% in the first quarter. As I have already stated, that is the fastest pace of increase in the EU. As a result, this evening my Department has revised its budget day forecast for GDP growth this year from -1.3% to positive growth of 1%, tangible evidence that the economic plan which the party opposite calls for us to abandon, is bearing fruit. The driving force of this growth is exports. It is the case that GNP is still expected to contract by 0.75%. However, this is also an improvement of almost 1% on the budget day forecast. Our plan is working, we must stick to it.

Naturally, unemployment is unacceptably high but I reject the suggestion that the Government does not have an employment strategy. Everyone on this side of the House recognises the difficulties in the labour market and the hardship these are causing. However, the best jobs strategy is to continue on the path of sustainable growth. We must continue to improve our competitiveness, we must maintain the stability we have brought to our public finances and we need a functioning banking system.

Jobs are at the centre of the Government's economic strategy. We have been proactive in protecting employment and in creating new jobs as the Minister, Deputy Batt O'Keeffe, outlined in his contribution earlier. There are almost 1.9 million persons at work today in Ireland, approximately half a million more than in 1997.

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