Paschal Mooney (Fianna Fail)

I welcome the Minister of State. Listening to Senator Ross, there can be no doubt but that the general election campaign has well and truly begun. I must confess that I share many of the misgivings expressed by the Senator, who has been consistent in his opposition to the social partnership process, particularly in its latter years. I am on the record of the House - which is open to examination by others - as stating on many occasions that the social partnership concept was excellent but that much was left to be desired when it came to its execution. In this regard, I refer to the fact that it led to the creation of a democratic deficit.

If the elected representatives of both Houses had been more involved in the social partnership process, things might have been different. Instead, we were obliged to sit in Leinster House and wait to hear what was going to be revealed at Government Buildings by a group of unelected representatives who pursued their own sectoral interests. The public service unions pursued their own agenda vigorously and with great success. It is rather sad that the opprobrium being heaped on the Fianna Fáil Government that was in power during the period in question is coming from critics who appear to have collective amnesia regarding the role played by the public service unions, the voluntary sector and the other members of the pillars relating to the social partnership process, particularly in the context of benchmarking.

I hope that in the forthcoming general election campaign a rational debate will take place in respect of this matter. I also hope that, following proper analysis, people will reach the conclusion that not only was it a case of the then Fianna Fáil Government making mistakes but that there were other players who were just as prominent and just as involved. Effectively, the players to whom I refer constituted an alternative form of government in this country for a long period. During the social partnership discussions, these individuals used to appear on our television screens on a daily basis to reveal to the country what they had achieved or gained. At the same time, elected representatives in this and the Lower House were obliged to wait for the announcement of something that was essentially a fait accompli. It was then presented as a package and was voted through because the Executive had the support of the majority in the Dáil.

As my party's newly-elected leader, Deputy Martin, stated in recent days that we are facing the most critical and challenging general election for a generation. I take this opportunity to congratulate Deputy Martin. As a member of Fianna Fáil, I am proud of his unstinting and unequivocal apology for the mistakes that were made by the Fianna Fáil-led Administration. It was right and proper that Deputy Martin should have made such an apology. It is time for politicians of all hues, particularly those in Fianna Fáil, to have a little humility when it comes to facing the electorate. We must admit that grievous mistakes were made and that these have angered the people. The level of the anger to which I refer is unprecedented during my time as a public representative.

The election must be about binding and healing the wounds of the nation. There will be an onus on everyone participating in the election to reach out and show empathy to those who are hurting financially, emotionally and in every other way.

As Members are aware, one of my broadcasting commitments relates to highlighting the importance of the Irish diaspora. As a former emigrant, I am very proud of my work in this area which has been long neglected. I pay tribute to Deputy Martin, who, as Minister for Foreign Affairs, and in conjunction with Mr. David McWilliams, initiated the Farmleigh economic forum. It resulted in the establishment of the global network, a forum for members of the Irish diaspora - both native-born and those of Irish descent - who have succeeded in business to use their unique skills and expertise to assist in improving this country's economy. I hope the incoming Government will continue to support and expand the role of the Irish diaspora in the context of the impact it can have on the country. That impact is already beginning to be felt and I wish those involved well.

Senator Ross is the latest Member to articulate the very real concerns with regard to the heavy weight of debt being shouldered by the people. It is only right that members of the general population should inquire why they should be obliged to bear the burden of a debt for which they have no responsibility and which was amassed by private banks. I welcome the fact that among the shifting sands of European political and bureaucratic activity there appears to be growing recognition that a small open economy such as ours cannot realistically hope to relieve itself of the massive burden that has been placed on it as a result of reckless lending by German banks in the early 2000s - following the introduction of the euro - and by their Irish counterparts. When they obtained the money to which I refer, the Irish banks shovelled it out to people.

The most recent example of the type of recklessness to which I refer was reported in the newspapers earlier this week. I refer to the case of a man who had no background in development who was given a massive loan. The individual in question was a successful local businessman in County Monaghan. I do not wish to single him out but his is typical of the type of stories we have been hearing and reading since the financial tsunami hit in 2008. It is unbelievable that a bank could give the man to whom I refer €32 million in the absence of any track record which would indicate that he could repay the debt. Alarm bells were already sounding in the wider economy when this individual was advanced the sum in question and I do not understand how the bank believed it would somehow be in a position to recoup it. That man was treated unfairly. He is as much a victim as anyone else who is suffering as a result of what happened in recent years. His story is an example of the recklessness that held sway in this country.

I accept that it is easy to point the finger and state that, in the context of the regulatory regime, the Government took its eye off the ball. However, what was happening here was also taking place elsewhere across the globe. It was a return to the idea propounded by Mr. Ronald Reagan and Ms Margaret Thatcher to the effect that the market wins or that it rules all. The idea to which I refer was first put forward in the mid-1980s. It then filtered through world economies in the 1990s and resulted in Ireland, for the first time since before the Famine, having some money to improve the lot of its people. We lost the plot when it came to spending that money.

I am particularly pleased that the Minister has drawn attention to the successes we have achieved, despite our current economic difficulties, such as the continued momentum of export companies. Ireland is unique among the countries suffering from the financial downturn, namely, Greece, Portugal, Spain and, to a lesser extent, Italy and Belgium, in that it has a balance of payments surplus. This momentum has been maintained since the world economy started to turn in 2009. Members on all sides of the House will agree that our export success between 1994 and 2001 was almost exclusively responsible for the increase in the population and employment levels. I pay tribute for this to the rainbow Government of 1994 to 1997 and its successor from 1997 to 2002. The national recovery plan acknowledged that the proven success of the export-led model of that period should be the basis for future growth. Economists suggest there will be a trickle down effect over 12 to 18 months before there are real gains in reducing unemployment figures. Please God, that will come sooner rather than later.

I applaud the Minister for drawing attention to the success of the IFSC. While I appreciate this success is related to our low corporation tax rate, it is providing real jobs. In the light of the criticisms levelled at the inadequate regulatory environment between 2002 and 2008, it is ironic that many companies are being attracted to this country because we have put in place a much stricter regulatory regime.

Other aspects of the Bill have been addressed and I will not discuss them now, although I hope we will have further opportunities on Committee Stage to discussed them in detail. I hope a way will be found to adjust the budget which has been more or less thrust upon us by the EU-IMF financial package in order to relieve the burden being placed on the most vulnerable in society.