Brian Lenihan Jnr (Dublin West, Fianna Fail)

This does not come without risks, risks that were enunciated in the last budget, risks that those opposite choose to forget. They have forgotten, in particular, the significant uncertainty and volatility in world financial markets which began in August 2007 and has continued into 2008. The euro has continued to strengthen against the dollar and sterling, our two important export markets. Oil prices have continued to rise, which is obviously unhelpful to competitiveness of an island economy like Ireland's.

While these risks present significant challenges for the economy, it is, as has been widely acknowledged by economic commentators, is now in a position, as it never was before, to meet these challenges head-on. The people are confident in their own abilities. The economy and the labour force is flexible, highly skilled and innovative. There have been significant improvements in productivity and infrastructure. It is this confidence and flexibility, in conjunction with the improvements in productivity and investment, that have lessened the effects of the international problems and put the economy in an excellent position to benefit fully from the inevitable upturn in the global economy.

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