Brian Lenihan Jnr (Dublin West, Fianna Fail)

Liquidity in terms of a bank is acquired through the taking of deposits or the obtaining of interest bonds, interest bearing loans or loans from other banks or the interbank market. We have to inject confidence into that market. That is one of the main purposes of this legislation where Ireland is concerned. On the liability side of the balance one also has subordinated debt but that is normally the way banks build up that side of the balance sheet. On the other side of the balance sheet, the assets side, in addition to the loans which banks have, they also have shareholders' capital. The market has been very bearish about shareholding capital as I am sure Senator Burke is well aware from the various attempts to have rights issues in the UK in recent times. Clearly, if that degree of confidence existed for the banks to have a rights issue, the banks could undertake such an operation.