Lorraine Higgins (Labour) | Oireachtas source

I welcome Mr. Gay Mitchell, MEP, to the House. It is always a welcome departure to have guests address the House, especially those of his experience in local, national and European politics. It is great that he has shared Europe's history and experiences with us and I enjoyed listening to his speech.

This is a timely visit given that Ireland is holding the Presidency of the European Union and many Ministers and officials will visit the country during the next six months. This is the seventh time we have held this responsibility and it is an honour for the country. The 2013 Presidency comes as we celebrate the 40th anniversary of our accession to the European Economic Community in 1973 and it is rooted in our continuing commitment to the European project since we joined.

As we mark the 40th year of our membership we should reflect on the remarkable changes that have taken place in our country in terms of infrastructure as well as culturally, politically and economically. Let us look back to 1973. Senator Mullins has outlined several changes since then. At that time Ireland's wealth level stood at 60% of the European average while today, despite the effects of the economic crisis, Ireland's level of prosperity is above the EU average. In the early 1970s, more than 50% of our exports went to our nearest neighbour, the United Kingdom, but today we trade advanced goods and services globally. In particular, EU economies such as Germany have become increasingly important for Irish exporters. These have been some notable and welcome points in our development and change since we became a member of the Union.

I wish to focus on our priorities and aims for our EU Presidency which will help to shape and contribute to Europe's growth and recovery priorities and serve to highlight the importance of Ireland's debt situation and any proposed debt deal coming to manifestation. Ireland's priorities can be found in the words stability, jobs and growth. As a country we have gone through financially turbulent times exacerbated by a world recession. However, in great adversity opportunity knocks and now is the time that the EU can display its strength and stability and show that we have the ability to foster growth, even in these much-maligned times. We must show that once we secure steady growth we can then foster employment opportunities and contribute to the welfare of each of our citizens.

The best example of Europe's ability to confront such trying and testing issues is that of our own country. Undoubtedly in the recent past Ireland has gone through peaks and troughs in terms of growth. In the 15 years preceding 2008 we were the envy of Europe with our unprecedented economic growth fuelled by too many resources being devoted to the property sector. Irish banks had adopted a flaithiúlach approach to lending which culminated in the Government of the day guaranteeing their borrowings, thereby inextricably linking bank debt to our sovereign debt. The cost, economic, human and otherwise, of rescuing our banks and their creditors was vast. In 2010 we were obliged to seek support from the EU and the IMF when the door was closed on the international financial markets. There is no doubt whatsoever that the EU was there for us at a time of great adversity for the country, but by taking the steps we took as a country we also ensured the stability of Europe's banking sector and that should not be forgotten.

As a consequence of the decision made by Ireland, its people have suffered to the tune of ¤64 billion. We have taken a hit and played our part in the economic malaise. Taxes have increased and expenditure has been curtailed in the country. The size of the public sector has been reduced with salaries cut by an average of 15%. The measures we have had to take have been difficult and there have been no easy choices. Now, we need to be shown the daylight at the end of the tunnel which should manifest itself as relieving the burden of our bank-related debt. We have shown that there is a path back from the crisis. It is not an easy path and undoubtedly it has been and will be a long path. It is in Europe's interest that we can be the poster boys of Europe and show that other countries can come through an austerity programme successfully, gain the confidence of international lenders and take back fiscal independence while remaining within the Union. As a citizen I yearn for the day that the term PIIGS, referring to Portugal, Italy, Ireland, Greece and Spain, becomes PIGS and I acknowledge that Mr. Mitchell, our Government and all other representatives in Europe are striving to achieve this goal.

My next point relates to Europe's aid agenda and our simple mantra that we must help others to help themselves. Europe has been to the forefront of this issue for many decades. The EU member states have always made a healthy contribution towards countries in development programmes. More than half the money spent on helping poor countries comes from EU member countries, making it the world's largest aid donor. Three of the world's five largest donor countries are EU members and four of them already donate 0.7% of their gross national income to development aid. By way of corroboration, in 2010 EU development aid totalled ¤53.8 billion, a significant sum given what was taking place on the continent at the time. I had hoped to develop this point further but it appears I am out of time.