Bernard Durkan (Kildare North, Fine Gael)
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Question 146: To ask the Minister for Finance if he will encourage the banking sector to facilitate viable pig farming enterprises which may need capital investment arising from redevelopment relating to animal welfare provisions, with particular reference to the requirement for ongoing working capital in the current difficult economic situation; and if he will make a statement on the matter. [13737/12]

Michael Noonan (Limerick City, Fine Gael)
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As the Deputy is aware, the Government has imposed lending targets on the two domestic pillar banks for the three calendar years, 2011 to 2013. Both banks were required to sanction lending of at least €3 billion in 2011, €3.5 billion this year and €4 billion in 2013 for new or increased credit facilities to SMEs. I can confirm to the Deputy that both banks have achieved their 2011 targets. The banks have been set an overall target for lending to SMEs including farm lending. The Government is conscious that the agricultural sector, in common with other sectors, needs access to credit. The remit of the Credit Review Office which was established to review decisions of the banks to refuse credit explicitly includes the farming sector. All loans to pig farmers are included in the agriculture lending returns.

It is vital that the banks continue to make credit available to support economic recovery. However, it is not in the interest of the banks, businesses or the economy for finance to be provided unless the business is viable and has the capacity to meet the interest payments and repay the sum borrowed.