Brian Cowen (Laois-Offaly, Fianna Fail)

We must all be responsible in relation to this matter. To allay any fears, worries or concerns the public may have, I point out to the Deputy that our banking system is fully supported by the European Central Bank in respect of its funding. On the question of capital, we have seen capitalisation provided to the banks heretofore. The Deputy will also be aware that any increase in capitalisation is a matter for discussion and negotiation and is not finalised in any sense at this point. It is important, given that these are market sensitive issues, that we not seek to suggest that ongoing discussions have been finalised or that we are in a position to outline a full package, if approved by Government. I ask that we all act in a responsible manner.

With regard to our future funding requirements, we would be making provision for drawing down further national borrowings in any event. Therefore, withdrawals from this fund - if we were to take it and approve it - would replace borrowings done for the Exchequer in any event. So the whole question of interest rates is a matter under negotiation, as the Deputy would appreciate. There are various sources of funds for this facility. That is an important matter that is yet to be finalised, and anything being mentioned is speculative at this time.

It is important that we allow negotiations to proceed and not affect them in any way, and I do not suggest this is the Deputy's intention. It is obvious that we should not affect the negotiations in a way that would not be good for the country. Let the negotiations and discussions take place. If we have an outcome that can be put to and approved by Government, it will, of course, be brought to the attention of the Parliament and the people thereafter.

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