Brian Cowen (Laois-Offaly, Fianna Fail)

The general economic situation was discussed and it was in this context that the issue of NAMA arose. It was part of the discussion. I emphasise to Deputy Burton that her surmise regarding comments attributed to the First Minster is not correct. I am sure the First Minister was accurately quoted about his various concerns and I explained in a previous reply the context in which those concerns were expressed. I also made the point that commercial criteria apply in respect of the National Asset Management Agency. There is no differentiated approach with regard to how assets are valued. The question of valuation methodology must be approved by the European Commission in any event so there is no question of that arising at all. These matters will all be dealt with consistently. They are taken on a case by case basis but it is not a question of the National Asset Management Agency acquiring assets for the purpose of immediate disposal. It is a question of providing, in the main, a longer time horizon to allow asset value recover rather than immediate disposal of assets. That is the reason a briefing by the Minister for Finance with his counterpart in the North would be useful in that respect so that they will have a full understanding and view of what is involved and get a detailed assessment from us. It was in that context that the meeting was arranged. There is no change from what is envisaged.

Regarding what Deputy Kenny said, the question of volatility of exchange rates between sterling and the euro is not something under the direct control of this Government. The whole purpose of the North-South agenda is the long-term issues. In what way can we provide building blocks that will make the island economy more competitive? In what way can we bring the island economy to the fore? In what way can we identify practical areas of co-operation across a range of areas, not only those set out originally? The whole idea of the interaction at ministerial level and in plenary format is as a confidence building measure so that both sides see the value of that co-operation and the need to explore its potential. In particular, in the context of the changed economic circumstances in which we find ourselves, a strong point I will be making is that now, more than ever, the need for close interaction and co-operation between North and South is important in the context of hard-pressed taxpayers in both jurisdictions providing moneys and trying to maintain service levels of public services. At the same time there is a need to see in what way we can co-operate and avoid duplication. This is an agenda that is all the more important and emphatic now than was the case before this, indeed more so.

In the context of working through financial services, the purpose in that regard was the mix and match approach. There are parts of the financial services industry in which we are well established, and there are very well paid jobs available here. There are other aspects of the financial services industry where we are no longer competitive but in which the Northern Ireland area might be competitive. Why would we not work together to try to ensure we maximise the island-wide approach? That is what co-operation is about.

In terms of increasing the cake and making sure it is available, we know that since autumn of last year an earthquake has taken place in the financial services industry, which obviously might delay the original hopes of that programme but it is nonetheless valid. Avoiding partitionist thinking is important in this issue.

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