Mary White (Fianna Fail)

I welcome the Minister of State, Deputy O'Dowd, to the House. I have spoken many times in the company of the Minister for Jobs, Innovation and Enterprise, Deputy Richard Bruton. I am perplexed that he is not listening to the Governor of the Central Bank, Professor Honohan, or the representatives of small and medium businesses. The Governor of the Central Bank, Professor Honohan, recently drew our attention to the fact that this State has provided unlimited liquidity to the banks at low interest rates. He also acknowledged that the SME sector is the main driver of job growth in the economy.

The Irish banks were bailed out to the tune of €63 billion of Irish taxpayers money, a move which effectively bankrupted our State. While during the height of the Celtic tiger era the Central Bank and Department of Finance commented that the economy was overheating as a result of the property boom, they did not adequately alert Government to this. I call on the Governor of the Central Bank to alert the Government to the fact that there is no more liquidity available. Irish small and medium sized companies are finding it hard to access credit because banks are seeking collateral for loans and are applying much tougher conditions, interest rates and charges on loans. Approximately 800,000 people, 45%, of all those in employment are employed by SMEs yet many SMEs are unable to borrow money to improve and develop their businesses. Does anyone in this Government understand business? It is not just an academic exercise, which is what I believe many people believe.

The Minister for Jobs, Innovation and Enterprise, Deputy Bruton, and Minister for Finance, Deputy Noonan, are not listening to the people who need access to credit in order for their businesses to thrive and grow, thus creating employment. Senator Quinn frequently says that governments do not create employment. I disagree with him. If the Government cannot ensure the banks, whom we have bailed out, make money available to businesses who then is in charge of the country? Businesses cannot grow or expand without access to finance. The issue of access to credit has been raised with the Minister, Deputy Bruton, on many occasions during the past two months but no money has yet been made available. The micro-finance scheme has not been put in place. Nothing is happening.

It was stated last week by ISME that inflation is low because consumers are not spending. We all know that as a result of this nothing much is happening in the economy. The Government is responsible for our uncompetitiveness. It is responsible for the imposition on companies of waste, rate and rent charges and transport and energy costs as a result of which we are once again losing our competitiveness. Our competitiveness was improved by private businesses cutting back to the bone and people who work therein making sacrifices. I call on the Governor of the Central Bank to use his authority in the bank, which is an institution of our State which has loaned €63 billion to Irish owned banks, to do something other than comment on the unavailability of credit. There is no liquidity and the situation is dire.

I apologise for being so pessimistic but I do not see anything happening. The Ministers, Deputies Bruton and Noonan, are not listening to the people in business rather they are listening to the banks and the Irish Bankers Federation. I do not understand it. I will continue to watch this brief closely in terms of delivery.