Enda Kenny (Mayo, Fine Gael) | Oireachtas source

Deputy Martin is asking what action the Government took on the basis of the circumstances in which we found ourselves in 2011. Some €20 billion had been invested by the taxpayer. Jobs were haemorrhaging by the tens of thousands, interest rates on money borrowed by the country were 15% and unemployment was rising. We set out to improve that position, and that is what has happened in terms of the interest rates on the promissory note and the leverage we have at a European level.

As I said, €20 billion of taxpayers' money was put into what was supposed to be the greatest deal of all, that is, a €64 billion debt burden on our people. We recovered €6.6 billion through capital repayments, interest, income and fees. The State still owns 99.9% of the ordinary share capital and a further €0.2 billion has been paid to the State through the bank levy. The primary objective of the State was to recover all of the investment from AIB. The Minister for Finance believes that is a realistic objective over a period of time.

I said to Deputy Martin yesterday that the sale of the bank shares would not result in any beneficial impact on the general Government balance as it would not be counted as revenue. Therefore, there is no increased capacity to spend. The proceeds from any IPO would be used to pay down debt, and the Minister has made that perfectly clear. We are now in the process of being in a much stronger position than we were, with almost full employment, and the deficit is to be eliminated next year. There are serious challenges in terms of the level of personal debt that applies.

The negotiations are now beginning, with the Minister for Public Expenditure and Reform, on an extension of the Lansdowne Road agreement and a review of the capital programme. Significant amounts of money still remain unallocated. The Government has made decisions on the unprecedented levels of money available for dealing with the housing crisis.

As I have pointed out, the Government has made decisions to work with the European Investment Bank on further, long-term, low interest funds for major pieces of infrastructure. The challenges ahead are ones the Government is already looking at, not in the way Governments of the past looked at the development of a spatial strategy. People on this side wrote down 53 towns to be developed, but nothing ever happened.

Ireland as a country will increase its population by 1 million people over the next number of years and we will need 500,000 houses. We have to consider how those people will be transported. The Minister for Communications, Climate Action and Environment is delivering elements of the programme for broadband and a national contract is to be issued for that next year. There is a contract in place with Eir for the provision of fibre broadband to homes in many places.

The Minister has been very clear that now is the optimum time to dispose of a portion of AIB, leaving the State with a very significant holding. Obviously, advice was received on a constant basis but the opportunity did not present itself in the way it does now. It is not a case of not examining the infrastructure requirements we have. They are very big priorities for Government. In this particular case, as has been pointed out, it is a transaction that does not result in any increased spending money and will, therefore, be used to write down debt, as the Minister has confirmed on many occasions.

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