Joe O'Reilly (Fine Gael)

The Minister is very welcome. It is good to have him back in the Seanad, and I thank him for his management of the economy, which has left us in such a shape and position that we were able to cope with Covid; deal with the outcome of the Ukraine war in terms of inflation and the effect on families, etc.; and be in a strong position coming into the Brexit scenario. His management of the economy has left us in a strong position consistently, and that remains the case as we face new challenges. I acknowledge that and thank him for that.

As the Minister said in his opening remarks, we have a good backdrop here. As we begin a discussion today on the economic outlook and future, we have a good backdrop in that we have 2.8 million people in employment, 4% unemployment, which is effectively close to full employment, the easing of inflation and a surplus of €8.7 billion. Those are good, strong opening positions as we discuss and look to the future. We can be proud of those achievements. As a people, while it took the leadership from the Minister and his Cabinet colleagues, it also took a buy-in by the Irish people at all stages, and the Irish people are to be acknowledged for that. We are in a good, healthy position by way of backdrop.

Obviously, the immediate threat of tariffs creates a new reality and a new challenge. As the Minister said, it is good that it has been put on hold somewhat. There remains a 10% tariff, but it is good that there is a hold on the more severe impacts and that there are negotiations. Hopefully, common sense will ultimately prevail because the tariffs are not good for either the American consumer or the consumers here. That presents a challenge which we have to be ready for and it could potentially have impacts on employment or negative impacts on the public finances. Some of the opening position we are in helps to insulate us from that but, having said that, it is not to be welcomed or advocated and hopefully can be avoided.

It is important that we go on achieving foreign direct investment into the country. We have done well so far. It is a reasonable proposition that is what is here will stay in every scenario, given our educated workforce, our favourable environment relative to industrial peace and a good environment on every front. It is very probable that what is here will stay, but of course the challenge will be to attract new foreign direct investment into the future if there were the kind of environment that is threatened. That is a concern.

It was a very good initiative on the Minister's part to put in place in 2019 the National Reserve Fund or, as it is popularly known, the rainy day fund. It prepares us or leaves us ready for severe shocks, including natural disasters. In an Irish context, that could be something like foot and mouth disease, threats to agriculture, a whole range of climate events, another pandemic - who knows. It is important to be ready for all eventualities and that we are consistently consolidating that.

The pensions reserve fund is a necessary exercise too, given our demographic and ageing population. That is an important strategic weapon also. Critically, the strategic investment fund, future-proofing and ensuring the future of Ireland's strategic investment funding are very important. It is important that we keep a sharp focus on having infrastructure, including water infrastructure and Irish Water, efficient and working well and delivering to complement the need for housing and proposed housing developments. There is a huge need in that regard. I know it is a current debate but it is worthy of repetition in the Minister's presence that we need to get that linkage and the consistent investment and support of Irish Water but also that Irish Water must respond to housing needs and planning applications in a given area. We had a classic example of that for a long time - indeed, at the moment as well but it is being dealt with - in Virginia, County Cavan, where there were a number of proposed developments. It is extraordinary. It is one of the areas of County Cavan and that region that has the greatest demand. There is a great demand for housing, both private and social. There are many sites that have permission to build and have been designated but where the water and sewerage system needs to be upgraded and building is not being allowed because of that. That kind of thing has to be eliminated.Of course we need to be abreast of technological advancements. I will be interested when the Minister is summing up to see what he will say about our position vis-à-vis artificial intelligence and its onset and how we will be fit to be part of that revolution ourselves in an active sense and be recipients of its best qualities. We cannot allow a fear of what may be the bad side to keep us out of that race. It is like rural electrification, the industrial revolution or IT when it first arrived. We must be up there with it and using it for the best possible advantage.

Human capital is of course the great investment and something we have got right consistently in Ireland. I would like to think we will go on investing in education, the development of skills and apprenticeships and making them attractive. I mentioned AI. We must ensure our population is skilled in that sphere also. Our investment in education is important.

I have talked a lot recently in the Seanad about special needs and disabilities. That is an important part of our economic future. The Minister often says in his own remarks that our economic future and getting the economy right is ultimately only about getting life right for people and creating the right living conditions. I would be interested to know and to hear him say he is committed to investing in the disability sector, education for people with special needs and ensuring every citizen can fully participate in the economy and create wealth. There is no reason many people who may not have been getting the full chance could not do that.

Physical infrastructure regarding water, as I mentioned, is important, as are roads. One of the tragedies of our history, though understandable in the context of the times with emigration, the car industry, etc., is that we got rid of railways. We need to restore them across the country and to develop a rail infrastructure. We of course need a road infrastructure and, to be parochial, road infrastructure is very critical in my area which is very involved in food production, both in primary production and processing. That is necessary. Foreign direct investment also matters.

Tourism is a great Irish problem. We have tremendous potential for heritage tourism. It is a great driver of economic success. I would be interested in knowing if we will go on investing in tourism infrastructure. In our local town we are developing a plantation museum. It is plantation country in a very big way and there was a sizeable plantation there in the 1600s. Many of the diaspora in Canada and America, for example, want to come home to see it, as well as their family roots and the area. There is great potential to invest in tourism infrastructure throughout the country. I thank the Minister for being here and look forward to his response.