Eugene Regan (Fine Gael)

I ask the Minister of State and the previous speaker to tell us something we do not know. The Minister of State's presentation threw out a few new figures, several generalities and some literary comments of such a generic nature that they have no relevance to the problems we face. We need the Government to provide directions, decisions and policies. The role of the Opposition is to comment on Government policy and point out weaknesses to bring improvements but we are being asked instead to come up with solutions. Last July our spokesperson on finance, Deputy Bruton, proposed a series of measures which have been followed religiously by the Minister for Finance. I cannot find in the measures introduced by the Minister any that have not been proposed by Fine Gael. Deputy Bruton set out a programme for recovery in the autumn and articulated further measures last week.

All we are getting from this Government are frameworks for dealing with the banking crisis and the recovery of the economy. We have to read about the framework for discussions with social partners in the newspapers because we are told very little in the House. Essentially, this comprises the agenda for their meetings. I do not know the Taoiseach's problem but his policy seems to consist of asking everyone what should be done. No one in the Government is setting out a series of measures which could be judged on an objective basis. This country's international credibility has been affected owing to the Government's lack of action. Even when it became apparent that problems existed in respect of regulation in the banking sector, it did not act promptly to condemn bad practices and take the necessary actions.

The Minister of State suggested we should never again rely on the assumption that there would not be an economic cycle. Who assumed there was no such thing as the economic cycle? If that is what is being suggested in the introductory remarks as being a conventional wisdom over recent years, it was only in the mind of the Fianna Fáil-led Government of the past ten years. It never saw the necessity of prudent public finances but merely assumed that the tax take from the construction sector — stamp duty, etc. — would go on and built economic policies on that. That is the fundamental problem today.

The Minister of State has indicated global financial market conditions remain extremely difficult and this compounds the sharp contraction in the construction sector. It does not. All that international financial market conditions highlight is the weakness in economic management over the past ten years and the lack of regulation in our own financial sector. It exposes the faults and mistakes made, and this is why Ireland was first into recession in the European Union and the reason the recession in Ireland is deeper than that of any other member state. It is why our public finances are in much worse shape than in any other European Union member state.

The Minister of State has indicated the Department of Finance expects the economy to contract by 4% following a decline of nearly 1.5% last year. The ESRI has indicated in its latest quarterly report that the economy is expected to contract by 5% following a decline of 2.2% last year. The extent of the economic expertise in the Department of Finance has recently been highlighted and I wonder, even at this late stage, if the Government and the Minister have the correct figures.

The Minister of State has said we must demonstrate clearly, both nationally and internationally, that in response to the exceptionally difficult environment we face, our public finances will be managed in a stable and sustainable manner and be brought back on track. The Taoiseach said this last summer, after the summer, before Christmas and we have had a statement again today. We know this but a programme of action is required. The Government must bring forward policy, which we do not have before us today. As a result, commenting on any policy prescription from the Government is impossible. There is none.