Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

I am struck that the focus of analysis and debate has evolved over the past 18 months. Deputies Michael McGrath, Paul Murphy and Pearse Doherty were then arguing that the level of capital investment in our economy was far too low. Deputy Doherty would still argue that it needs to be higher and we need to borrow more to do it. This year we have increased capital investment by €800 million and we have a further €1.5 billion planned for next year.

To answer the Deputy's question regarding how I plan to help the economy walk the tightrope he is talking about, there are three things the Government will be able to do and is doing. From a procurement point of view, it can make sure that as we are making agreements in respect of key projects, we do so at prices that are affordable to the State while being mindful of the signalling effect they have on the rest of the economy. We can ensure that we stand by the Public Service Stability Agreement 2018-2022 and do not do anything through that agreement or elsewhere that could stimulate a degree of wage growth that might ultimately be counterproductive. Finally, we can look at particular sectors to continue to address issues within them to do with developing pricing pressure. My colleague, the Minister of State, Deputy D'Arcy, is at the forefront of doing that in the insurance sector, for example.

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