Darragh O'Brien (Dublin North, Fianna Fail)

There were good economic growth figures in the first quarter but disappointing in the second. By the end of this year, however, the country will have returned to economic growth. Next year, there will be net job increases. It is important that all Members, regardless of party, do what they can to ensure jobs are created for the 460,000 people out of work. The slight decline in yesterday's live register figures is also to be welcomed.

The Government is there to make decisions, not just talk about what it would do. We are already setting the country on a course to recovery. With the Minister for Finance and the Taoiseach, the country has turned the corner and has credibility in international markets.

I wish the Labour Party, whose Members are absent from the Chamber now, was more cautious about some of its public comments. It is simply lying to the public with the claim it has a silver bullet that can fix all of this through temporary nationalisation of the banks. That is simply not possible. If we followed such a course, all the moneys raised by Bank of Ireland in the private markets in recent months would have actually been taxpayers' money. The Labour Party has zero credibility. Unfortunately, because it is not telling the truth to the public, some people believe there is an easier option. There is not.

Thankfully, last night the Oireachtas decided to extend the bank guarantee scheme. Through the fees it charges, it has brought €1 billion into the Exchequer. The next scheme will be more costly for the banks. I, like all Members, have no truck with the banks. We all have had complaints about their practices. I have received many complaints about how AIB treats small businesses. The decision today to take a majority stake in AIB is important because it will ensure credit will flow to the SME sector. The Government has identified through Bank of Ireland and AIB €6 billion in working capital for the SME sector for the next two years which will be monitored by the credit review group, headed by John Trethowan. While the process may be a little slow, it is necessary. The indigenous SME sector employs over 800,000 people and we must do everything we can to support it. The Government has also brought in the employment subsidies scheme which protects more than 100,000 jobs and several other initiatives.

The Opposition parties have put forward initiatives as well. I hope during the framing of the next budget, they will put across their proposals and all parties can examine realistic policies that can be agreed by all. While I would expect that of Fine Gael, I do not expect it of the Labour Party.

Unemployment is the single largest issue. I speak as someone who had the experience of being out of work in the 1990s. We need to improve the market to enable growth. Our costs have come down and we are becoming more competitive. We will be able to attract necessary foreign direct investment. The Government must also ensure the indigenous SME sector is supported. Today's announcements on the banks have been welcomed by Europe and the bond markets. The country has funding until the middle of next year. This time next year, I believe we will be dealing with a much more positive situation in the economy.

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