Brian Cowen (Laois-Offaly, Fianna Fail)

I do not accept that contention whatsoever. I will deal with the issues raised by the Deputy in the order that he raised them. In regard to getting credit flowing again, the situation is not just about the recapitalisation issue and the bank guarantee which, by the way, were regarded by the IMF as fundamental to maintaining financial stability in the State at the present time. The third leg to that stool is the need to provide an assets management agency to take the impaired assets off the balance sheets. That is necessary and it has been approved and agreed.

The proposal by Fine Gael on this matter involves reneging on senior bond holders. That is the Lehman Brothers solution and we see where that got us. The proposal from the Labour Party in respect of the banking situation is a pre-emptive nationalisation of all banks. That is the Icelandic model and we know where that got us.

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