Bernard Durkan (Kildare North, Fine Gael) | Oireachtas source

Everyone must welcome this legislation and what it intends to do, namely, give a boost to the business sector, which must recover in order to make our economy self-sufficient. Other Members have noted that it comes at an awkward time for businesses that barely got out of a recession which hit them and the country very hard. It is tough luck that the coronavirus came upon us at a time when we were recovering. We had no control of that whatever, and still have very little control over it. The virus continues to rage across the globe and remains a serious threat.

The European Union has come in at an early stage. The German Chancellor has outlined what she believes to be necessary to deal with the issues before us. She is correct that a semi-mutualisation of the debt that has befallen European countries is the obvious thing to do because those countries did not bring what is happening upon themselves.

This did not happen due to mismanagement and it could not have been bargained for. The only thing individual Governments can do in this particular situation is to put in place the necessary health checks to contain the virus and to bring about a situation where it is suppressed to the extent that business can recover and survive.

In every respect, we do not know the full extent of the impact as yet. This Bill is an appropriate reassurance and stabilising measure that will be of benefit to the business sector. Confidence is necessary. Confidence and access to credit are crucial elements in the business sector. Without them, the business sector will wander. What is most important in the context of this particular development is that all countries across the European Union are likely to be treated in the same fashion. That is positive. It is important from the point of view of smaller countries like Ireland that we can expect equal and fair treatment from our neighbours and that they too can expect to receive favourable treatment and support through the various mechanisms that are being made available by individual member states. It is important that we grasp this opportunity. There has been much said about the need for greater emphasis on grants and less emphasis on loans but if the loans are provided at appropriate interest rates they will be of huge benefit in any event, particularly for those companies that want to plan for the future. Access to a particular source of capital, be it by way of grant or loan, provides reassurance and the confidence that is required.

This country came through a huge trauma in the course of the recovery from the economic crash. Without going over that in any great deal, we were bruised after it. The business community was bruised after it. While we made a relatively dramatic recovery in comparison with other countries across the European Union we are still bruised. There are small businesses throughout the length and breadth of this country that are seeking further borrowings and a restructuring of their loan facilities in order that they can recover from it. It is to the eternal credit of the business sector in this country that it has done so well. Businesses worked hard in the face of unbelievable obstacles to bring about a resolution for the restoration of their economy. The agri-food sector in particular bore a heavy burden and did extremely well.

It is no harm to remember that because of the considerable impact of the economic downturn, it naturally follows that we become punch-drunk and that our people are under pressure for considerable periods and as a result they suffer. The most important issue now is access to credit. Credit is important to the running of any business. A business cannot operate unless it has access to credit and can wash its face in terms of the resources it has available. The manner in which it can do that is best dealt with by the people who are experts in the business area, namely, the small and medium sized businesses the length and breadth of this country who, as we speak, continue to endeavour to the best of their ability to put in place the necessary measures to propel them into the future and a safe environment.

My final point is in regard to the future. We do not know for how long this situation will continue, which is sad. It is impossible to determine that at this stage. Much will be determined by the extent to which the global community gets to grips with the pandemic and puts in place the necessary measures to contain and suppress it. By the same token, the supports proposed in this legislation, which are necessary, may have to be and can be revisited in the future. In this regard the support of our colleagues throughout the European Union is important. Standing together, we stand the best chance of restoring confidence in ourselves, industry and the country while at the same time being able to compete in the wider global markets. We live in an open economy. The global markets are available to us as individual business people throughout the length and breadth of this country but only if we are in a position to access sufficient resources to ensure we can continue to run our businesses. We can do that. It is good that we are in that position at this particular time. I hope that the uptake of the resources being made available is sufficiently high to make a positive impact on our economy and as a result our return to economic independence.

See this speech in context