Fidelma Healy Eames (Fine Gael)

The nation is indeed holding its breath to hear what is in the budget. I am glad there was a number of Cabinet meetings about it. Meanwhile, the banking problem has not gone away, it is still a monster. We learn today that there is €56 billion of toxic debt in the Irish banking system. We are not sure what the Minister is planning for it, perhaps some kind of asset management model, but that is not enough to ensure confidence. The general view of the public is that the banks will revert to their bad ways unless they are properly held in check. There is evidence of young people in my constituency getting phone calls from banks offering them up to €20,000 in personal loans, yet the banks will not lend to businesses in need of credit. What is going on? What type of behaviour is that by our banks?

It is time we had a banking big brother, by which I mean it is time we called for a European bank regulatory model to regulate our banks. We must have objectivity and independence. We are far too small and too cosy. The banks have cost us our international reputation. As Senator Norris said, we are now considered as one of the most troubled economies in Europe. The banking crisis has shown the need for us to have a very serious regulatory model. I call on the Leader to discuss this with the Minister for Finance and ask him to pursue a European regulatory model that would guarantee our independence. I also call on the European candidates to pursue this model.