Maurice Cummins (Fine Gael)

As Ireland benefits massively from membership of the European Union, anything that will improve the way the Union and the euro function will certainly be in Ireland's interests. The stability treaty aims to contribute to the reconstruction of the euro system to ensure economic stability for the country and the Union. The treaty is an essential component of the major reconstruction of the euro system being undertaken by the Union and provides strong foundations for disciplined budget management in every member country. As the Minister of State, Deputy Brian Hayes, stated recently, strengthening the euro system by itself will not restore the eurozone to robust economic health, but it is a necessary condition for a return to sustainable growth in Europe.

A "Yes" vote on 31 May is fundamental to our economic recovery. The outcome of the referendum will be interpreted as a signal as to whether we want to remain at the heart of the European Union or whether we are moving towards the periphery based on suspicion or mistrust of the Union's direction and intent. In the business world sentiment matters. One only has to look at how the international money markets work. However, there is little doubt that reaffirming our commitment to the euro would help to restore confidence externally in our ability to manage our way forward. The same applies to inward investment. All of the main business groupings, including IBEC, Chambers Ireland and American Chamber of Commerce Ireland which has been mentioned, have confirmed their strong support for the treaty. IBEC's director of policy stated that, despite tough economic times, Irish business remained very supportive of Ireland's place and role in the eurozone. This view is also reflected in the overwhelming support for ratification of the new treaty.

The future of the European Union, the restoration of economic stability and growth and the creation of new jobs are all dependent on the Union being led out of the crisis. I reject the idea that we can stand outside the Union, put our recovery funds at risk and alarm the international companies and investors on whom we rely for the creation of jobs in Galway and many other areas throughout the country. We have responsibilities and made commitments to our fellow members, just as they have to us. It is not and can never be an À la carte membership. The treaty enshrines new binding and enforceable fiscal rules in order that all participating member states will have economic responsibilities to each other to ensure the mistakes of the past will not be repeated.

Our current programme funding is secure until 2013, but it is vital for investment and stability to have a funding backstop beyond the existing programme. The stability treaty makes it clear that should assistance be required post-2013 from the EU bailout fund, we will require ratification of the treaty. A "No" vote will result in an increase in borrowing costs for Ireland when we return to the markets and it could fatally undermine our capacity to return to them. Those who promote a "No" vote need to tell the people where we can source funding to pay pensioners and social welfare recipients, teachers, gardaí and all other public servants. If we cut ourselves off from this insurance policy of the bailout programme or assistance from the European Union, from where will we get funding? That is a question which will have to be posed and answered by those who promote a "No" vote in this campaign.

Some commentators suggest the result of the French presidential election may result in changes to the treaty. This is only an attempt to muddy the waters and I am sure we will witness plenty such attempts throughout the campaign. As a Government, we will press ahead with the referendum with a view to strengthening and protecting Ireland's interests in the European Union. The Taoiseach has for a long time argued within the Union for the emphasis to be on growth and the jobs agenda. Any further support from outside in this regard, be it from France or any other country, can only benefit Ireland and we would certainly welcome it.

For all these reasons, a "Yes" vote is vital to our economic recovery. I commend the Bill to the House and urge all Members to support the treaty in the interests of all our citizens.