Brian Hayes (Dublin South West, Fine Gael)

I welcome the Deputy's constructive remarks. This is a challenge particularly as we proceed through 2012. The Taoiseach has rightly pointed out that this is the year when the investment jobs agenda is the crucial test for us all to get people back to work. That will not happen unless we can provide funds into the real economy.

It is important to state also that the whole of Government is taking this issue very seriously. One of the issues we have identified is the need for equity in many of these businesses. Credit is one thing but the only way one will draw it down is if one has capital. Part of the problem is that micro-businesses in particular do not have access to the 10% or 20% required up-front to draw down the amount. That is something on which we are very focused, particularly the new micro-financing fund which was established by the Minister, Deputy Bruton, in consultation and in co-operation with the Department of Finance. The key test is to get the capital in place in order that these funds can be there for investment.

Many businesses in the middle of an economic turmoil spend much of their time deleveraging, writing off debt, paying down debt and not seeing investment. This climate will change when we ensure that lending gets out into the real economy.

The independent Mazars report, of which the Deputy will be aware, made the net point last year in terms of last year's lending that when the pending applications are excluded, the approval rate is about 70% at present. We need to get money out into the economy but we also need to have applications coming through. We also need to use the Credit Review Office as a means of making sure that money gets out into the economy.

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