Seán Conlan (Cavan-Monaghan, Fine Gael) | Oireachtas source

In undertaking the journey towards recovery, the Government had to evaluate the state of the nation, identify where we needed to get to and establish how we were going to achieve that end. The start point was bleak but the consequences of not undertaking the task of delivering the people from the precipice were bleaker still. The economy was in free fall, the banks insolvent, unemployment spiralling, a massive exodus occurring of capital and our young people from the country, industrial output falling, a run on the banks and our international reputation in tatters. That was just over 20 months ago.

This Government has offered leadership and hope while setting about the task of completely overhauling a dysfunctional economy, turning it around and getting it on a path to growth and recovery. International confidence is essential to our economy. The steps taken in meeting and, in some cases, exceeding the set targets of the EU-IMF programme have essentially succeeded in achieving a restoration of an international belief that Ireland can be trusted, is a responsible and safe economy with which and in which to do business. This has been recognised in international circles and has resulted in the National Treasury Management Agency, NTMA, conducting a phased re-entry into the markets and achieving a bond yield below 5%, which was beyond anything anticipated 12 months ago. We have also achieved a turnaround with GDP growth of 1.4%, a deficit reduction to 9% and growth in our exports with them for the first time in history exceeding €9 billion in the month of August. These are figures unmatched even at the height of the boom. The EU has now recognised our progress and our contribution as a nation to the stability of the euro by making a commitment to separate sovereign and banking debt which will make our debt burden more sustainable.

The banking sector had been a major contributor to the economic collapse suffered, so a root and branch review of its business model was conducted. When appropriate, a comprehensive recapitalisation of these previously dysfunctional institutions was effected. These institutions displayed a level of dishonesty, even in insolvency, which stunned the entire population. Many issues still need to be addressed regarding their bona fides including their continued starving of the small and medium-sized enterprise sector - essential to our recovery plans - of vital investment capital even though full recapitalisation is completed. Enormous progress has been made in the banking sector, confidence is being restored while deposits have begun to rise, showing a 10% growth over the year. However, we are not just there yet.

All of these measures were essential to restoring the economy, securing stability to arrest the collapse and essential services. They were also essential in reaching the point where we can make real and meaningful inroads into restoring jobs and creating sustainable employment so that our people can have a fulfilling life, contributing to the future of their family and their country. This is not an easy journey. There has been, and will continue to be, pain and discomfort along the way. We are painfully aware of this and for this reason we have taken measures to ease the burden. We have removed 330,000 people from the universal social charge net, avoided raising income tax and heavily invested in job creation, making implementation a priority.

We will continue to follow this course and will remain sympathetic to the plight of those among us who are struggling to make ends meet and, in many cases, unable to do so. The low-paid, those who have lost jobs or businesses and those depending on social welfare are a constant and ongoing concern of this Government. We must, for their sake, get the finances of this country resolved so we can offer protection to those needing it. As long as we remain weak and in the financial hands of foreign bankers we remain restricted in what we can deliver. In striking a budget for 2013, we must remain cognisant of those who are suffering and do all in our power to protect front-line services. We must protect those who care for the aged, ill and disabled in their own homes and who do this country a great service by keeping nursing home beds empty while providing those in their care with a dignity and comfort which cannot be equalled in any institution.

We should also remember that the way out of this crisis is through job creation. Finance must be made available to secure the growth of sustainable employment rather than those jobs advocated by members of the Opposition which would be of an artificial nature, lasting only as long as the National Pensions Reserve Fund.

The new Ireland must be built on the foundations of sustainability and fairness. When Moses undertook the most famous and epic journey in world history to deliver his people from slavery and penury at the hands of others, he was confronted with all the sentiments and difficulties that the Government faces, including derision, complaining, nay-sayers, those who bred discontent, those who jockeyed for position and those who would rather see him fail than admit he was right. We have certainly seen all of this. We have heard remarks about having egg on the face and something not being deemed as progress from Sinn Féin and remarks about mixed messages from those who caused the mess in Fianna Fáil, among others. The Government is doing its best to clean up the mess created by others and will continue to do so. I wish the Taoiseach, the Minister for Finance and all other Ministers well. I trust they will continue with the great work they have undertaken and hope sooner rather than later that we will get out of this mess and get the country back on the path to sustainable growth.

See this speech in context