Professor Patrick Honohan:

I would like first to take advantage of the Deputy's question to repudiate the idea that in some way, I bounced a government into doing something that was bad for the country. I did not bounce anybody, but I did encourage what I believe to be an action that was in fact protective of the provision of public services, albeit on a constrained basis. I believed that any other action, such as a delay until things got even worse, would have constrained the Government even more in the current years. I firmly believe that and I think there is a tendency to reinterpret history. In fact, the members of the Government of the day took their decisions with their eyes wide open. My influence was only one of many. It was obviously the right thing to do, but there may have been a better solution to the wider debt crisis in Europe. In terms of what is available to Ireland, however, and regardless of one's perspective, we have been working on the best course these past few years which allows the best levels of resources to the people of Ireland, because it allowed that additional borrowing in those years.

The Deputy has spoken about money being made available for restructuring of banking debt. It was either Deputy Humphreys or Deputy O'Donnell who pointed out that very large sums of money from those amounts borrowed as part of the programme have been set aside to enable the banks to absorb those losses that will inevitably occur from the mortgage crisis. Our attempt is to get them to move faster to recognise that and to create the sustainable solutions which will in fact cost-----