Seán Fleming (Laois-Offaly, Fianna Fail)

The Minister, Deputy Noonan, when in Brussels today, should have pressed President Draghi of the European Central Bank for a clear timetable to reduce that debt in terms of overall European Central Bank requirements. There is a compelling case for deployment by the European Union of a new funding stream to ease the burden of debt on the Irish taxpayer. The ESF was not in place when the Fianna Fáil-led Government agreed to the EU-IMF programme. Other countries can now draw on that facility. The interest rate being charged on the promissory notes is 5.8% increasing to 8.2% from 2013.

This matter was discussed recently by the Committee of Public Accounts. That committee received an important letter from the chief executive of the National Treasury Management Agency, Mr. John Corrigan. In summary, Mr. Corrigan suggests that, as an alternative to the promissory notes system, we should draw down cash from the ESF and, rather than paying the 5% interest rate we are currently paying, we should try to obtain that funding at the rate of 1%, which is the rate being given to Ireland by the European Central Bank. This would reduce interest costs. Funding would then come from the European Central Bank to the Irish Central Bank, which would result in a massive cash saving to the Irish Exchequer and taxpayers.

Why should Irish citizens bail out European banks? The reason Chancellor Merkel, President Sarkozy and President Draghi want to protect the European Central Bank and the euro is to protect the big German, French, Spanish, Italian and UK banks. The Irish taxpayer is not paying for Anglo Irish Bank. We are paying so the German banks do not have to take a hit. That is what this is about. It is no wonder the troika thinks we are great people and that they give us a gold star each time they come here. We are doing what no other country in the world is prepared to do, namely, impose hardship on our citizens because of European banks.

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