Michael Moynihan (Cork North West, Fianna Fail)

I thank the Ceann Comhairle for the opportunity to speak on the motion. In recent years we have considered several motions addressing the economy. As we face into the second half of 2008 there is a significant difficulty facing the country as the external economic environment is very difficult and I know the Government and the Department of Finance are seriously examining this difficulty. The challenge we face is to ensure we protect our small, open economy from the external difficulties of international financial markets, oil and the credit crunch.

The economy has done very well over the past ten to 12 years and built on the educational success of previous generations. We have seen significant growth in opportunities for our young people. The challenge facing the Government, for which it and the new Minister for Finance, Deputy Brian Lenihan, are well equipped, is to ensure it does not allow itself simply to throw money at the problem. We must ensure that money is targeted.

I am glad the Government motion seeks to ensure there is a commitment to the poor and vulnerable in society and that there are sufficient resources allocated in the areas of health, education and social welfare. The previous speaker mentioned social inclusion. Many of the projects involving partnerships for social development throughout the country in both urban and rural areas have demonstrated a great definition of social inclusion. Many people who were outside the workforce, or had no way of getting into the workforce through the various social inclusion policy measures implemented by this and previous administrations, have been brought back into it and have got a great buzz and sense of achievement. It is important that we continue with these measures.

It is most important as we face into uncharted waters and difficult times that the fundamentals of the economy are far stronger than they have ever been in our history. It is important that the bedrock of our economy is maintained. We have a well educated workforce which is one of our strongest assets and has helped to build our economy. The Government is committed to ensuring that the opportunities for people of every age in our country in recent years are maintained. However, the Government and the Oireachtas will have to take difficult decisions in certain areas. They will make sure the decisions are effective and will ensure the fundamentals of our economy remain strong so that we can escape these difficult times and the difficult economic outlook we face.

In a positive report recently the Economic and Social Research Institute underlined in its medium term review that the economy is healthy and strong. The institute agrees that the Irish economy is flexible and resilient with an ability to absorb the downturn. It is important that we understand this and ensure the economy continues to be strong, open and flexible. At the same time we should be mindful of the issues of social inclusion and the weaker in society. I thank the Ceann Comhairle for the opportunity to speak and I commend the Government's motion to the House.

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