Stephen Donnelly (Wicklow, Fianna Fail) | Oireachtas source

The point, however, is that it depends on the rate in the jurisdiction with which ours is compared. I agree with the Minister that a rate of 4% is very attractive relative to Irish lending rates, but that is because Irish businesses are being screwed on lending rates. They are being charged twice what their competitors in Germany and France are being charged. I am not laying that charge at the door of the Minister. It is not a political charge. Irish companies are getting screwed. Irish mortgage holders are getting screwed. Borrowers in Ireland get screwed. We can pay twice what our colleagues in mainland Europe pay.

If the point of the loan was to help Irish businesses grow market share in Ireland, one would say that was a very competitive rate relative to the Irish market, but what we are asking the Minister to do with the money is to think about how to compete with German and French firms in Germany and France. The lending rate we are providing is still higher than the commercial rate in the countries in which we want the businesses to compete. This is highly leveraged money and the Irish State is putting in a tiny amount of the €300 million. We have the risk capital at the start. If we were to increase what is a very small amount from the Exchequer to leverage this fund to gain market share in mainland Europe, surely the least this State could do would be to ensure a borrowing cost no higher than that of competitors in places such as Germany and France.