Áine Brady (Kildare North, Fianna Fail)

I wish to share time with Deputies Michael Kennedy, Michael Moynihan and Peter Kelly and the Minister of State, Deputy Jimmy Devins.

Tá an-áthas orm bheith ag freastal ar an díospóireacht seo. Aithním go bhfuil cursaí eacnamaíochta ar fud an domhain ag cur brú ar chursaí eacnamaíochta sa tír seo. Ag an am céanna, ba mhaith liom díriú isteach ar na straitéisí atá curtha i bhfeidhm againn chun na faidhbe sin a fhreagairt.

The country has prospered over the past ten years. Investment in the national development plan demonstrates the Government's determination to proceed with the policy mix to sustain the progress already achieved. Without labouring the point, we should reflect that in 1997 some 1.4 million people were working in Ireland while today that figures stands at approximately 2.1 million. Last year, we spent over €1.7 billion on our road network and completed over 200 km of motorway and 624 km of new or redesigned national roads as well as opening the Dublin Port tunnel. We are quite rightly investing significant resources in public transport projects such as the Kildare route project, the Maynooth line upgrade and Luas. Investment in new buses and in quality bus corridors are a clear indication of how our country has changed for the better and that we are laying the foundation for further improvements.

In 1997, total investment in research and development by Government in third level and business-led research was in the order of €220 million. Last year committed expenditure on research and development was almost €1 billion. In NUI Maynooth, for instance, greater focus is being placed on research, the commercialisation of research and on innovation. Colleges are now working hand in glove with industry to ensure the research they are pursuing is relevant. They are being supported in part by the Government-funded Science Foundation Ireland. A recent announcement by Intel that it was appointing NUI Maynooth as its first global education partner is a most significant move for both institutions and reflects the success of policies of both NUI Maynooth and the Government in the area of research and development and innovation.

The Government continues to be committed to low direct taxes to encourage enterprise on the part of investors and workers. We now apply the lowest tax wedge on workers' incomes in the OECD and our very competitive corporation tax rate coupled with a young, educated and committed workforce has led investors to locate here. Companies such as Intel, Hewlett-Packard and Wyeth in my county are a testament to the successful policy mix at play delivering for both the enterprises and our country.

The capacity to deliver strong performance reflects the efforts of many people, especially the working men and women of this country. Investment in our human capital to up-skill our workforce demonstrates the Government's determination to pursue a policy framework which will bed down our success to date. Investment in our people through training and education is a key enabler to optimising the benefit of the knowledge economy.

Oil prices at record levels, double what they were last year, the financial housing crisis in the US and world stock market volatility, all mean that as an open economy we will not be immune to these events. As the Taoiseach pointed out, we will need to make adjustments for the long-term gain. However, despite the global downturn, we are managing well. Today's Economic and Social Research Institute report, which forecasts that the Irish economy will grow by an average of 3.75% per year between now and 2010, will instill renewed confidence in our economy. It also signals the successful management of the economy to date.

As this is my first opportunity to contribute to a debate on financial matters since the appointment of the Minister, Deputy Brian Lenihan, to the Department of Finance, I wish him well. He brings with him not only his very significant intellect but also a rich tradition of public service.

While the Government knows that over the short term it faces new difficulties and constraints, the policies being adopted ensure we are well-equipped to overcome these problems because they ensure the public finances are sound and that we are investing in our human capital and infrastructure to secure future growth. We are also pursuing policies which protect the most vulnerable in society. I commend the Government amendment to the House.

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