Enda Kenny (Mayo, Fine Gael)

I met the President of the European Central Bank, Mr. Draghi, upon his appointment and after Mr. Trichet had vacated the position. I did not have a formal meeting with him. The Minister for Finance travelled to Frankfurt to meet Mr. Draghi and has met him on a number of occasions since his appointment. A briefing document in respect of the promissory note was circulated by the European Union section of my Department to our counterparts throughout Europe.

As I informed Deputy Ross in respect of an earlier question, the treaty is about sustainable growth, employment, competitiveness and social cohesion. It is not for me to interfere in the electoral processes of France or any other country. We made a clear decision, in adequate time, to hold the referendum on 31 May next. Irrespective of when one holds a referendum, there will always be events which can discussed in the context of whether they will assist the process. This is a matter for the Irish people to make a decision on and we are well able to make up our own minds in respect of the question being asked. That question is whether people will give their authorisation for the ratification of the treaty, which relates to growth, employment, competitiveness and social cohesion. I hope the people will answer "Yes", especially on the basis of the evidence before them in respect of continued strong investment. Such investment leads to job opportunities and helps to create growth, which in turn reduces our debt and makes it easier for us to reach the point at which we can once again fly on our own economically. The less money we are obliged to spend on debt and interest payments, the more will be available to spend in areas such as health, education and so on where a clear need exists.

As Deputy Martin is aware, there has been some movement in respect of the European situation. The meetings of the European Council I attended from March of last year up to recently were all consumed by talk of catastrophe, default, the break-up of the eurozone, the demise of the euro, the removal or potential removal of countries from the eurozone, etc. The position has now changed. Greece was the subject of headlines on the front pages of world newspapers for two and a half years but we have moved to the point where there is a recognition that if one wants to put one's house in order, one will be obliged to engage in some good housekeeping. On its own, the agenda in this regard does not deal with the challenge of creating growth and opportunity.

There has been a recognition of the role of the European Central Bank. Deputy Martin is well aware of the exceptional liquidity released by Mr. Draghi and the bank into the system to relieve the pressure on it. There has also been a recognition of the urgency of this matter by means of the bringing forward of the establishment of the ESM by 12 months. There is also the issue of the adequacy and the scale of the firewalls being made available. We must remember the co-operation offered by the IMF when Europe was prepared to put its money where its mouth is. Clearly the firewall available will be of a scale which will allow it to prevent contagion. This type of action speaks for itself.

The question of the promissory notes is one with which the Minister for Finance and his counterparts are actively involved. That will continue to be the case. Issues such as the future role of the European Central Bank, the question of eurobonds, etc. have not yet become the subject of specific proposals. The Deputy is aware that what Ireland would like in this regard is an opportunity to have a longer spell at a lower interest rate because this would assist us with our deficit and debt repayments. The Minister for Finance will continue to negotiate on behalf of the country in respect of these matters. When they are finally dealt with at European Council level, we will make decisions that are in the best interests of the country. While there has been some movement and a degree of recognition of the need for change, I am of the view that developments will accelerate once the stability treaty is ratified by 12 countries and proceeds to be implemented.

The agenda being discussed by Mr. Hollande, if he is to be elected by the French people, is one of additional growth. I welcome the statements from European leaders in respect of a focus on an agenda which promotes investment, growth, jobs and opportunities. We fully support that principle which we, as a country, have been advocating for some months. What the French people decide to do is their business.

I want the Deputy to understand that while the treaty has been signed, it does not prevent additional measures being inserted that will not alter the treaty but will add a particular focus to it such as jobs and investment. That could be in the same way the European Parliament voted through a range of protocols given to Ireland arising from the Lisbon treaty with particular reference to corporation tax rates and so on. I would not give a carte blanche, as they say in France, to growth and investment because we have objections to financial transaction taxes and any changes in corporation tax rates that might be of interest to other countries. We would see this as a growth issue.

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