Dáil debates

Tuesday, 16 July 2013

Ceisteanna - Questions (Resumed)

Official Engagements

4:40 pm

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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10. To ask the Taoiseach the issues he discussed with the Greek Prime Minister at their recent meeting; and if he will make a statement on the matter. [26615/13]

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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11. To ask the Taoiseach if he has spoken to Chancellor Angela Merkel recently; and if he will make a statement on the matter. [26616/13]

Photo of Gerry AdamsGerry Adams (Louth, Sinn Fein)
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12. To ask the Taoiseach if he will report on his meeting with the Greek Prime Minister, Antonis Samaras, on 23 May 2013. [26619/13]

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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13. To ask the Taoiseach if he attended any bilaterals while attending the May EU Council meeting; and if he will make a statement on the matter. [26620/13]

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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14. To ask the Taoiseach if any papers were circulated by him or any other Prime Minister at the May EU Council meeting; and if he will make a statement on the matter. [26623/13]

Photo of Tommy BroughanTommy Broughan (Dublin North East, Labour)
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15. To ask the Taoiseach if he has been involved in discussions to nominate an individual to run as a candidate to succeed the current President of the European Commission, José Manuel Barroso in 2014. [26627/13]

Photo of Gerry AdamsGerry Adams (Louth, Sinn Fein)
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16. To ask the Taoiseach if he will report on his meeting with the Italian Prime Minister Enrico Letta in Rome on 10 June 2013. [28680/13]

Photo of Gerry AdamsGerry Adams (Louth, Sinn Fein)
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17. To ask the Taoiseach if he will report on his meeting with the Finnish Prime Minister, Jyrki Katainen, in Helsinki on 7 June 2013. [28681/13]

Photo of Gerry AdamsGerry Adams (Louth, Sinn Fein)
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18. To ask the Taoiseach if he discussed the use of the European Stability Mechanism, ESM, to retrospectively recapitalise banks during his meeting with the Finnish Prime Minister, Jyrki Katainen, in Helsinki on 7 June 2013. [28682/13]

Photo of Gerry AdamsGerry Adams (Louth, Sinn Fein)
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19. To ask the Taoiseach if he discussed the possibility of the ESM taking a stake in the Irish pillar banks, during his meeting with the Finnish Prime Minister Jyrki Katainen in Helsinki on the 7 June 2013. [28683/13]

Photo of Gerry AdamsGerry Adams (Louth, Sinn Fein)
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20. To ask the Taoiseach if he will report on his recent visits to Lithuania and Latvia. [28684/13]

Photo of Tommy BroughanTommy Broughan (Dublin North East, Labour)
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21. To ask the Taoiseach if he will recommend new proposals to the European Council, before the end of the Irish Presidency of the European Union, to address the high unemployment levels in the eurozone and the European Union, which pose a threat to the sustainability of the eurozone and the wider European project. [28690/13]

Photo of Gerry AdamsGerry Adams (Louth, Sinn Fein)
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22. To ask the Taoiseach if he has discussed the issue of youth unemployment in his recent discussions with the Italian Prime Minister Enrico Letta. [28881/13]

Photo of Gerry AdamsGerry Adams (Louth, Sinn Fein)
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23. To ask the Taoiseach the discussions he has had on the EU budget during his recent meeting with the Italian Prime Minister, Enrico Letta. [28882/13]

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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24. To ask the Taoiseach the recent discussions he has had with Chancellor Angela Merkel; and if he will make a statement on the matter. [33195/13]

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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25. To ask the Taoiseach the issues he discussed in his recent meeting with the Finnish Prime Minister; and if he will make a statement on the matter. [33197/13]

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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26. To ask the Taoiseach if he will report on the issues he raised at the recent European Council meeting; and if he will make a statement on the matter. [33198/13]

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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27. To ask the Taoiseach if he will report on the discussions at the EU Council on Europe's deepening unemployment crisis and the views he expressed on this issue; and if he will make a statement on the matter. [33199/13]

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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28. To ask the Taoiseach if he has had any recent discussions with the Portuguese Prime Minister; and if he will make a statement on the matter. [33201/13]

Photo of Joe HigginsJoe Higgins (Dublin West, Socialist Party)
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29. To ask the Taoiseach if he will report on his meetings with other Heads of State during the last EU Council. [35071/13]

Photo of Joe HigginsJoe Higgins (Dublin West, Socialist Party)
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30. To ask the Taoiseach if he has met with the Greek Prime Minister; and if they discussed the issue of unemployment in Greece and the European Union. [35072/13]

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)
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I propose to take Questions Nos. 10 to 30, inclusive, together.

I met Prime Minister Samaras of Greece on Thursday, 23 May. We discussed economic developments in Greece and in Ireland, as well as our respective efforts to secure economic recovery; the Irish EU Presidency; preparations for the Greek EU Presidency; and the outcome of the May European Council, which we had both attended the previous day. While in Athens, I also attended a meeting with representatives of Greek businesses and SMEs.

I visited Vilnius on 6 June for meetings with President Dalia Grybauskaitė and Prime Minister Algirdas Butkevičius. Later that day I travelled to Riga, where I met Prime Minister Dombrovkis and President Andris Bērziņš. On 7 June, I travelled to Helsinki for meetings with President Niinistö and Prime Minister Katainen. I also met Prime Minister Letta in Rome on 10 June. During each of these meetings, discussions focused on economic matters, including Ireland's economic recovery, preparations for the June European Council, the multiannual financial framework, the ambitions for the remaining part of the Irish Presidency, the proposed EU-US transatlantic trade and investment partnership and bilateral relations.

As Members are aware, I wrote to each of my colleagues in the European Council ahead of the May meeting. I expressed my appreciation for the excellent level of co-operation we had received as Presidency and highlighted a number of areas on which we were seeking further support. I spoke with a number of my colleagues in the margins of the May European Council meeting in this context.

I have spoken to Chancellor Merkel on a number of occasions, both in person and on the telephone, including at the May and June European Council meetings. I also travelled to Berlin on 3 July for a conference on youth employment, chaired by Chancellor Merkel. While I have not formally met with Prime Minister Coelho since my meeting with him on 28 April in Lisbon, I did see him and all my European Council colleagues at the meetings of the European Council in May and June.

The European Council has not engaged in discussions on nominating a candidate to succeed the current President of the European Commission, José Manuel Barroso, as yet.

The agenda for the June meeting of the European Council was prepared in the normal way. President Van Rompuy prepared an annotated draft agenda, which was considered by the General Affairs Council on 21 May, which was chaired by the Tánaiste. President Van Rompuy then circulated draft conclusions for the June European Council, which were discussed by ambassadors in Brussels and were discussed by Ministers at the meeting of the General Affairs Council on 25 June, which the Tánaiste again chaired. In the usual manner, at each step in the process, Ireland contributed views, as appropriate.

As I already made a statement on last month's meeting of the European Council, I will confine myself to a summary overview at this time. The focus of the meeting was on economic issues, with leaders agreeing a comprehensive approach to combat youth unemployment and a new investment plan for Europe. These are developments that I welcome, as they will contribute to addressing key challenges we face. The Heads of State or Government also concluded the 2013 European semester by endorsing country-specific recommendations for reform. Last month's European Council also welcomed the agreement reached on the next multiannual financial framework, MFF, and called for rapid formal adoption of the MFF regulation and associated inter-institutional agreement. One year after its adoption, leaders reviewed the implementation of the compact for growth and jobs, acknowledging that while considerable progress had been made, more remained to be done. The meeting also discussed completion of the economic and monetary union, EMU, including banking union, enlargement and the EU's relations with its strategic partners. The European Council expressed its sympathy with those affected by the recent flooding in central Europe and called for the appropriate financial resources to be mobilised to support relief and reconstruction efforts, as well as future preventive actions. Leaders welcomed Croatia as a new member of the EU as of 1 July and congratulated Latvia on fulfilling the convergence criteria to allow it to adopt the euro from the beginning of 2014.

Photo of Seán BarrettSeán Barrett (Dún Laoghaire, Ceann Comhairle)
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As one minute remains, I suggest that Deputies Martin and Adams put their questions and that will be it.

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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I thank the Ceann Comhairle. Within that minute, I also wish to congratulate Deputy Donohoe and welcome his family to the Chamber for what is a significant and privileged day for him and his family. I congratulate him and wish him the best of success in the discharge of his duties.

Photo of Seán BarrettSeán Barrett (Dún Laoghaire, Ceann Comhairle)
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Hear, hear.

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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I have one straightforward question for the Taoiseach. I am aware he met the Portuguese and Greek Prime Ministers, both of which countries, and Portugal in particular, are still having significant difficulties and challenges. As for Ireland and the ongoing issue pertaining to the retrospective recapitalisation of its banks, I asked whether papers were circulated by the Taoiseach in his bilateral meetings or to the summit meeting. What specifically does Ireland seek in terms of retrospective recapitalisation? This really is a core question. I note the Minister for Finance last year asked whether we really wished to sell the shares the Government has in Allied Irish Banks and Bank of Ireland to the European Stability Mechanism, ESM. Does the Taoiseach consider the ESM fundamentally to be about future recapitalisations or is there a retrospective element to it and what exactly do we seek?

Photo of Gerry AdamsGerry Adams (Louth, Sinn Fein)
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May I say that in my short time here, I have never seen a Deputy as chuffed looking as is Teachta Donohoe? He has put me in good form.

Photo of Eamonn MaloneyEamonn Maloney (Dublin South West, Labour)
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He is always chuffed.

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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He is more chuffed than Deputy Peadar Tóibín.

Photo of Gerry AdamsGerry Adams (Louth, Sinn Fein)
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My question relates specifically to Questions Nos. 17 and 18, which pertain to the retrospective recapitalisation of the pillar banks. I noted the chairperson of the Eurogroup last week stated there was no political support in the Eurogroup for retroactive recapitalisation of the banks. Does the Taoiseach agree this is a hammer blow? At the time, Sinn Féin warned that the spin from the Government, which was to describe the initial Eurogroup statement as a game changer or, as the Taoiseach described it, as a seismic shift, was overselling it. Does the Taoiseach have a plan - a cunning plan - to ensure this issue does not effectively fall off the European agenda?

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)
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The Deputy is one of the best at devising his memories as to what it was about which he warned the Government and so on. He said the same about the promissory notes and the extension of loan maturities, namely, these things would never happen. In respect of the questions of both Deputy Adams and Deputy Martin, the Government seeks to get the best outcome to be able to deal with our debt in a sustainable fashion.

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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What is that?

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)
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On 29 June 2012, the Council did decide to break the link between sovereign and bank debt. The Council did decide that Ireland would receive particular treatment because of what it called its well-performing programme. This was recognised further in public statements by the French President and the German Chancellor. The work that followed in respect of putting together the architecture for the single supervisory mechanism, the capital requirements directive IV, the approach towards banking union and the issue of recovery and resolution concluded with it being written into the decision that the possibility, as was envisaged on 29 June 2012, still applies for retrospection. The position of the Minister for Finance, on behalf of the Government, has been to set out in a clear fashion that the Government seeks an outcome that will benefit the Irish taxpayer and the Irish people and which will allow Ireland and its people to deal with the extent of our debt in a sustainable fashion.

We can certainly work towards that from a variety of points of view.

We were pleased with the outcome. Views abound in different ways in different countries. I met principals, many of whom spoke in public about the particular and specific circumstances which applied in the case of Ireland when our economic crash occurred. The tools and mechanisms have now changed following the decision taken in respect of Cyprus. I was happy to see the outcome of the Ministers for Finance, as endorsed by the European Counsel. That gives us the opportunity to continue to negotiate creatively and imaginatively in the time ahead so that the principle of the decision of 29 June last year can be achieved and the outcome of that is a more sustainable debt position for our country.

Written Answers follow Adjournment.