Eamon Gilmore (Dún Laoghaire, Labour)

I accept that the Taoiseach is not responsible for the rumours and speculation in the international media, but he and his Government are responsible for putting those rumours to rest and for settling the position. Unfortunately, that has not happened over the course of the weekend. The Taoiseach continuing to rely on the phrase that the Government has not made an application to the European fund does not address the issue.

I asked the Taoiseach a direct question. I accept that no application has been made, and I accepted that on Sunday when I was asked about it by a journalist. However, the issue remains that we need to be told, because there is speculation about it not only in our media but also in the international media, including it being the subject of comment today in the Financial Times, whether discussions are taking place about assistance being provided to the State, in the first place, and, second, about the question of additional funding for the Irish banks. It is important to address that.

I was interested to hear the comments by Daniel Gros of the Centre for European Policy Studies on "Morning Ireland" this morning. He made a direct connection between the State and what is happening in the banks. He said Ireland was the first country to say its government would guarantee all of the banks and every penny of their liabilities and that the decision, which looked smart then, is now the downfall of the entire country. He went on to say that, in his view, the financial markets were saying that the Government and the banks are the one thing as they are tied together. He elaborated further on that point.

All I am seeking from the Taoiseach is information. There is continuing speculation and comment in the media and among the public. It is one thing for the Taoiseach to tell the House that there is a general discussion about the eurozone area, but that is not the way it appears. Instead, it appears to be a specific discussion about Ireland's difficulties and the consequences for the euro area. There is an obligation on the Taoiseach to level with the House and with the public about what exactly is happening, but he continually fails to do that and speak directly. There is no point in being cagey and coy about this now, because it is being discussed anyway. Are we talking about assistance for the State? Has that been offered? Are we talking about assistance for the Irish banks? The Taoiseach must tell us exactly what is happening because it is being discussed anyway.

To say that these discussions are taking place at ministerial level and when they are concluded we will receive a report would be perfectly in order in normal circumstances, but it is not in order now. What is being discussed at that level is the subject of speculation and the Government's response to that over the weekend has not settled markets, public opinion or sentiment or international comment about this country.

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