Enda Kenny (Mayo, Fine Gael) | Oireachtas source

This is a problem we must deal with ourselves. The discussions which are taking place are focused on bringing a conclusion to the decision of the Heads of Government, including Chancellor Merkel, on 29 June. I do not want this country to see any pretensions about a second bailout. We want out of this bailout as quickly as we can so we can fly economically and run our country as efficiently as I know is possible. The promissory note issue, which has been there a while, means there is a requirement to pay €3.1 billion every year for ten years. The Deputy did not cause that but we must deal with it. It is a central focus for many discussions and the Deputy should believe me when I say it is not as simple as he pretends when he says we should wipe it out or change it in a way to bring the best financial benefit for Ireland.

Commentators got it wrong about Ireland's growth rate and the extent of our economy. Growth figures depend on a range of issues, and it is very difficult to predict what they can be for an exporting nation when other countries in Europe have a range of difficulties. The Deputy is aware of other countries either in programmes or on the verge of them because of difficulties. That has an impact on our capacity for export, as many of these countries buy what we produce.

I understand the Fiscal Advisory Council put forward even tougher measures that would see us emerge from the bailout programme more quickly than the Government proposes. The single most important element of the Government's action in 2013, working with its people, is to produce a budget that will meet our targets and have a direct impact on the fact that we borrow at 5% above the German rate. As a consequence, this economy is capital-starved. Until we can deal with that yield, it will be difficult for banks to borrow on the markets and it is less attractive for investment to flow here. These are external and international factors on which we must work, and this does not in any way take away from the fact that there is a series of very difficult challenges to deal with at home.

I look forward to the Deputy's contributions on how this can be rectified, and I do not want any hallucinations on how he might think it would happen. There are some challenging times ahead and the Government will make its decisions collectively, in the fairest and most equitable way possible. We are three quarters of the way across this river and it behoves everybody in the country to focus on what we can do to pull on the rope and get us back to economic independence and sovereignty. That will help us move on to implement a programme where people can have confidence, strength will return to our economy and opportunities for jobs and careers will filter through. Such action is not always as easy as it sounds but it is the case that we must face up to that challenge with courage.

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