Áine Brady (Kildare North, Fianna Fail)

Tá an-áthas orm an deis seo a ghlacadh labhairt faoi chursaí eacnamaíochta na tíre faoi láthair. Tá an díospóireacht seo an-tábhachtach don sochaí go ginearálta.

This debate is taking place against the backdrop of an increasingly difficult domestic and international economic environment. While we face short-term problems which require action, the future for the economy remains positive. While global economic conditions are very different to what they were last year, it is important that as a country we take pride in the significant achievements of the past, while setting objectives to secure future economic growth.

The National Economic and Social Council has described Ireland's economy in the early 21st century as one that is "in transition to a new phase in its development". While any such transition would be a challenge, a number of factors have combined this year to make the management of this transition all the more challenging. The normalisation of new house building, which was signalled for some time, is welcome but the scale and speed of this adjustment is a matter of concern. The rise in global commodity prices, especially oil and food, is causing major concern. The euro has appreciated against the dollar and sterling, which impairs our ability to compete in these markets. We are not alone, however, as other European countries and the United States are experiencing similar challenges. We must now take corrective steps and I welcome the Government's action this week to restore confidence in the public finances.

It is important that we do not talk down the economy. It is clear that the national development plan is tackling infrastructural deficits with significant investment in the road and rail network. Resources are also being provided with the upskilling, training and education our workforce needs. The NDP is also supporting the enterprise and innovation sectors. In my own constituency, NUI Maynooth has focused on innovation as it charts a new course for the college. Its work in setting up the Innovation Value Institute ensures that it will become a relevant knowledge provider to local industries. NUI Maynooth now has increased links with many multinationals and was recently appointed an education partner to Intel. Nurturing relationships between knowledge providers and industries will assist with overall competitiveness and ensure that we maintain and attract industries to Ireland. Colleges are now working hand-in-glove with industry to ensure that the research they are pursuing is relevant. They are being supported, in part, by the Government-funded Science Foundation Ireland.

The recent success of Abbott's plant in Clonmel, which last week won approval from the US Food and Drug Administration to sell its stent in the US market, has almost gone unnoticed. However, the continued success in attracting such businesses to Ireland is down to a number of positive factors, including our track record in regulatory compliance, a talented labour supply and a prudent corporate tax policy.

We now apply the lowest tax wedge on workers' incomes in the OECD. In addition, a competitive corporation tax rate coupled with a young, educated and committed workforce, has led investors to locate here. Companies such as Intel, HP and Wyeth in my own constituency are a testament to this successful policy mix at play, which is delivering both for enterprises and the country at large.

I make these points in order to establish a balance in this debate. The economy is facing challenges, but it is not closing down. We need to take corrective action for long-term gain. We also need to develop policies which will have the potential to stimulate the economy. Continued investment in infrastructure will help to keep people at work and improve competitiveness. With this in mind, I feel strongly that the Government should continue a PPP-type programme to build schools where required. Now might be the time for the Government to obtain best value from the private sector, given the spare capacity that exists in the construction industry.

In my own constituency, we are in need of further investment in school buildings. Some of the required buildings could be bundled together for such a PPP programme, making it attractive for the private sector but, more importantly, good value for taxpayers.

I welcome the commitment by the Taoiseach and the Minister for Social and Family Affairs, Deputy Mary Hanafin, to ensure that the less well-off are not negatively affected by the proposed corrective measures. Carers, older people and the disabled will be the focus of concern for all Members of this House, so the Government's commitment in this area is welcome.

The policies being adopted will ensure that we are well equipped to overcome these problems. We are investing in human capital and infrastructure to secure future growth, as well as pursuing policies that protect the weaker in society.

I commend the Government motion to the House.

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