OPINION: The Republic cannot follow Greece into default on debts as this course of action would be disastrous for our embryonic recovery, writes ENDA KENNY

THIS GOVERNMENT’S strategy of working to improve the bailout deal in order to get the country working again after almost four years of recession is starting to produce a return. The economy started to grow again in the first half of the year; the public finances and unemployment have stabilised and deposits are now returning to Irish banks.

While we have a long way to go, we have made a decent start and are now on the right track.

The deal agreed by EU leaders last Thursday morning is another step in the right direction. It is intended to avert a banking crisis and another recession in our biggest European trading partners, thus allowing our export-led recovery to continue.

Moreover, the expansion in resources available to the euro zone bailout fund underpins the renewed commitment of fellow euro zone members to continue to support countries such as the Republic that are pursuing sustainable economic policies.

Some have argued that this State should use the restructuring of Greece’s debt as an opportunity to repudiate the deal with our partners and to renege on our own debts.

Such a course of action would be disastrous for our recovery. By cutting ourselves off from further international loans, we would have to close this year’s €16 billion Government deficit immediately rather than over a number of years. This would plunge the economy back into recession and impose a degree of social hardship beyond anything experienced so far.

Given our vastly better economic circumstances compared with Greece, default would mark us out as a country that “won’t” rather than “can’t” pay our debts, killing off foreign direct investment and resulting in even higher borrowing costs for the State and Irish businesses that would strangle recovery and lower living standards for a generation.

It is empathy and solidarity, not envy, that I feel for our fellow EU citizens in Greece. As part of the deal, they are being forced to sell €50 billion of state assets, cut monthly pensions above €1,000 by 20 per cent, cut tax-free income thresholds from €12,000 to €5,000 and suspend 30,000 civil servants on partial pay.

On top of this, they face another 10 years of austerity and troika surveillance. While it is not surprising that a deal of this nature is being put to a referendum by the Greek government, who could possibly want this for the Republic?

The Irish Government’s strategy is growth, not default. We will not unilaterally repudiate the agreement with our partners, but will instead continue to improve its terms to make it more affordable and jobs-friendly. Our ambition is to be the first euro zone country to restore market confidence and emerge successfully from a bailout.

It is this strategy that has already seen us change the terms of the deal we inherited from the previous government in order to:

Secure €7 billion in private sector contributions to the cost of recapitalising our banks, including over €5 billion from burden sharing with junior bondholders;

Finance 5,000 national internship places and cut the rate of PRSI on low-paid jobs and the rate of VAT on tourism services in May;

Reduce the interest cost of the bailout loans in July by almost €10 billion;

Change the measures in the upcoming budget to minimise any negative impact on incomes and jobs.

Part of the existing agreement with our external partners is not to allow any Irish bank, including Anglo Irish Bank, default on its debts to bondholders for fear of paralysing wider European financial markets. I share the Irish public’s dismay at the cost and unfairness of this policy and the delay it caused to the State’s recovery.

But the unfortunate truth is that the vast majority of Anglo’s debts were paid off under the previous government. Of Anglo’s €97 billion in liabilities in September 2008 when the previous government offered it a blanket guarantee, €3.3 billion in unsecured private debts now remain, including the €700 million due for repayment today.

This horse has well and truly bolted.

In the absence of support from our external partners, potential gains to Irish taxpayers from forcing the bank to default on these bonds, while not insignificant, do not justify the enormous risks from such a courseof action. Allowing Anglo to default would create doubt over the future of the €110 billion in funding being made available by the European Central Bank and the Irish Central Bank to Irish banks at a low interest rate and could mean a renewed flight of funds and even tighter credit conditions for potential Irish job creators.

This Government is working every day to undo the painful legacy of the calamitous banking policies pursued by the previous administration. From the wreckage of the banking system that we inherited last March we have carved out two pillar banks – AIB and Bank of Ireland – as engines of economic recovery. We will close Anglo Irish Bank at the earliest opportunity. We have not put a single cent of taxpayer money into this bank on top of what was already legally committed by the previous government. We have merged its loan recovery operations with Irish Nationwide and are aggressively cutting costs. Only last week we completed the sale of a large chunk of its $9.2 billion in US assets.

Moreover, the additional flexibilities and resources now available to the euro zone’s bailout fund offer us the chance to negotiate more improvements in our bailout on top of what we have already achieved, including more help with funding our banks. This is something my Government will pursue with determination over the coming months.

– Article in The Irish Times, Wednesday, November 2, 2011

In the last General Election, 40 per cent of the people decided how to vote in the last week, 20 per cent on the last day. In previous Presidential Elections, which we all have difficulty remembering, the vote was even more volatile.

People will only now ask themselves who they want to succeed President McAleese. Take a look yourself at the seven candidates. At this crucial time in our country’s very real difficulties, I believe I have the breadth and depth of experience, but also the vigour and energy to join in leading our country to prosperity and happiness (as the 1916 Proclamation aspires). Votes are won in ones. Please leave no stone unturned in asking your family, friends, neighbours and anyone else you can influence. The decision will be made next Thursday. We can win this election.

Yours sincerely,

Gay Mitchell, MEP

Keep scrolling to see why you should vote for Gay!…

“My political conviction is informed by an ethos based on the four pillars of rights, responsibilities, enterprise and social justice. They are the values that have guided me for the last 32 years and will continue to guide me if elected President. They are the values that will help Ireland overcome some of our present economic and ethical difficulties and make us a country which others will again want to emulate, as they once did.

I want to return to a society based on principles; to a less harsh and a more merciful and forgiving society. There is something broken in our society and I believe that the ethos I am proposing has the potential to help us become, not just more ethical and happier, but really inclusive.

As President, I would put the welfare of our people at the heart of the Presidency, which can be a very powerful institution and can symbolise all that is good about our way of life. I would like to continue much of the practice of President McAleese by quietly working, often below the radar, to make our country a better place. I hope that by example, I can help others to start on a new journey in search of values that will take us through the iconic year of 2016 and beyond.”

Last weekend, Gay Mitchell MEP was nominated as the Fine Gael Candidate to contest the Presidential Election at the Party’s Selection Convention.I know that Gay has all the credentials to make an outstanding President if the Irish people choose to elect him.

I met with the President of the European Parliament, Jerzy Buzek, in Dublin on Tuesday.

President Buzek has voiced his support for an interest rate reduction for Ireland. We have now secured almost total European support, and will continue to campaign in this regard at every opportunity.

This week’s decision by Moody’s Investor Services to downgrade Ireland’s credit rating was very surprising, as well as being completely at odds with the position of other rating agencies.

There is a widespread belief that the move was driven more by uncertainty about the European response to the debt crisis than to any uncertainty about Ireland’s performance.

The Troika reiterated this view yesterday, when they reported that Ireland remained on track in its IMF/EU plan, having met all its targets to date.

We will not be blown off course. However, in their comments, the Troika did refer to the need for European leaders to take urgent action to prevent the debt crisis spreading to other countries.

I agree that Europe must respond to what is a European problem.

The Eurogroup’s Finance Ministers met earlier this week, and signalled their intention to introduce a range of positive measures, including a lengthening in the maturities of loans and lowering the interest rates, which Minister Noonan has welcomed as a positive step for Ireland.

The Cloyne Report, which was published this week, is yet another sad reflection of Ireland’s painful history of clerical child abuse.

Disturbingly, however, the Report does not refer to events far in the distant past. All of these particular allegations were made in the period after 1996, when new and detailed procedures had been put in place to deal with complaints of this nature.

The Government and the Tánaiste have demanded explanations for these unacceptable actions.

Words no longer suffice when meeting the challenge of protecting the children of this country.

Minister Shatter yesterday announced that he is to introduce new legislation making it an offence for knowledge of incidents of abuse to be withheld. A statutory child protection code was announced by Minister for Children Frances Fitzgerald today.

Today, I am in Galway, where the schedule is hectic and varied.

This morning, I announced the creation of 145 new jobs at C&F Green Energy in Athenry, which provides wind turbines all over the country, proof that this industry is growing rapidly.

Early this morning, I attended the opening of NUI Galway’s most impressive new Engineering Building, now the largest school of engineering in the country with over 1,100 students, before attending the Galway Chamber President’s Business Awards in the Meyrick Hotel.

In the afternoon, I made my way to the Fairgreen Road to open the Jigsaw Centre, a facility that gives advice to 15-25 year olds.
Kind regards
Yours sincerely
Enda Kenny TD
Taoiseach

Please find below the text of Gay Mitchell MEP’s address to Party delegates before securing the Fine Gael nomination for President, 9 July 2011.

Taoiseach agus Uachtarán Fhine Gael, a dhaoine uaisle agus a chairde uilig, Is mór an onóir dom a bheith i bhur measc inniú.

The oath of office taken by the President of Ireland reads, as follows:

“In the presence of Almighty God I, , do solemnly and sincerely promise and declare that I will maintain the Constitution of Ireland and uphold its laws, that I will fulfil my duties faithfully and conscientiously in accordance with the Constitution and the law, and that I will dedicate my abilities to the service and welfare of the people of Ireland. May God direct and sustain me.”

I do not appeal to any one class.  I appeal to what John Bruton called those who are striving to cope.  Those who keep the country going in factory and farm, office and outdoor worker, and If I am elected President, I will place my hand on the Bible and take this oath of office.  I will abide by it in the letter and in the spirit of the Constitution and the law, with every nerve and sinew and every ounce of energy and commitment I have.

Our country is at a crossroads. We have met with triumph and disaster, let us treat those two imposters just the same.  We are in an economic mess, our ethics and moral fibre are being tested. There are very real signs of a society in need of renewal. I have set out for you in my letters an ethos, a framework, which I believe will lead to that renewal.

Recently, I attended the funeral of Declan Costello whose political principles and approach to public service convinced me to join Fine Gael at the age of 16. Since then my political conviction is informed by an ethos, based on four pillars: rights, responsibilities, enterprise and social justice.   These values have guided me in public life for 32 years and will guide me if elected President. 

I believe that they are the values that will help equip Ireland to overcome some of our present economic and ethical difficulties and make us a country which others will again want to emulate, as they once did.

 A Republic which nurtures a just society is one, in my view, where the principles of rights, responsibilities, enterprise and social justice are intertwined. It’s easy to talk of rights and social justice but rights bring with them responsibilities for ourselves and others. Social justice through, for example, accessible education and decent health services can be provided only if the enterprising spirit is encouraged so as to create the wealth to pay for these services. This is not a question of unregulated greed – we can see where that got us. For enterprise to thrive there must be rules and a person who by the sweat of his/her brow makes a real effort should harvest the product of what they have sown. That is what gives incentive and encourages innovation.

I also believe in unity in diversity, but not a diversity that includes only the politically correct, real unity requires respect for all diversity. Respect must be mutual so as to be really inclusive and tolerant. I have firmly held beliefs and it is my disposition to try to see things from the point of view of those who do not share my beliefs. All I ask is that they do the same. Mutual respect demands this. I want an inclusive and tolerant Ireland where religious believers are respected as are non-believers. Where who your father was, where you were born or the colour of your skin does not delimit your opportunities.

Respect for diversity must apply to all of the Island, including to those with an Irish, Irish and British, and Irish and European identity. We must be prepared to end the mental partition that segregates the people of Ireland, by respecting those who see things from a different perspective. Having studied Irish Politics at Queen’s University Belfast, I am convinced that the whole of the Island can pull together to our mutual benefit. I would like to build on my experience in Belfast and, with the assistance of Senator Martin McAleese and others, continue the good work of our President in breaking down barriers.

I believe so much in diversity that I even married a Northsider. Norma has lived with me all 31 years of our married life on the southside. Now that there is to be a vacancy in the Phoenix Park perhaps it is time to see things from her point of view and move to the other side of the Liffey!

60m people died in Europe in the two world wars of the first half of the 20th century. Joining the EU was by far the best thing Ireland did internationally. We Europeans have learned to live together, it is not a perfect arrangement and at times it is overpowering for some. We can influence that power balance by taking time, networking, persuading, meeting and greeting, and impressing with intelligent argument. I am now the Leader of Fine Gael in the European Parliament.  I was European Affairs Minister during the Rainbow Government’s Presidency of the EU. Using my political experience, which is much broader than my service in Europe, I will work unceasingly to ensure that balance is in our favour.

In the developing world 23,000 children die every day. The good news is that it used to be 36,000 children per day. We in Ireland can be proud that we helped in a significant way to save these 13,000 lives each day, and we can further reduce this number dramatically. I have dedicated much of my time, on your behalf, in Parliament to leading on this issue. As the world’s population expands in the southern hemisphere by 2 billion people in the coming generation we can make a thriving developing world our trading partner and we will not then be the recipients of forced mass migration. We have no history of colonial possession; we have a proud history of missionaries and NGO´s working in the developing world. As President I would like to play a role where Ireland gives leadership to the world on this crucial issue. We have the credentials to do so. This too will enrich us, for it is in giving that we receive.

I don’t intend to make any only grand public statements and draw public debate on the ethos I will promote.  I also intend to take a crusade parish by parish to tell the people what I believe is the formula for a fairer society, for a better society, for a more ethical society and for a happier society.

Very sadly suicide in Ireland is at a level previously unknown. At last we can talk about it. Every day I remember the souls of people I have known who have died in this way and think of their families. Shockingly the list of those I remember is growing. Why?

We need to return to a society based on principles, a less harsh and a more merciful and forgiving society. Yes, there is something broken in our society and I believe the ethos I am proposing has the potential to help us to repair that brokenness and to become not just more ethical and happier but more gentle.

I am a Fine Gael person to the bone. As President I will be an Irish person to the bone and I will put the welfare of our people at the heart of the Presidency. The Presidency can be a very powerful institution. It can symbolise all that is good about our way of life. I would like to continue much of the practice of President Mc Aleese, quietly working, usually below the radar, to make our country a better place.

I hope that by example I can help others to start on a new journey in search of values that will take us through 2016 and all that that iconic year will stand for.

That we will become the Ireland that our original ideals of statehood set out to achieve. That we and our children will be proud to be Irish because of how we bear witness to the values of the Proclamation we all learned at school: to guarantee religious and civil liberty, equal rights and equal opportunities, to pursue the happiness and prosperity of the whole nation and all of its parts, cherishing all of the children equally.

Right now our country needs commitment to public service and I seek the Presidency for no other reason than to offer to provide that service in a manner which I believe will meet the public need in a new way A way that will make a real difference for the better. 

I want to be President of an Ireland that is a Republic in the real sense of the word. I feel that my election would, in its own way, help show that our Republic has come of age and that the office is not the preserve of any elite.

I had two really uplifting e-mails, one from Richard Looby, aged 17, from Waterford; the other from 3rd year college student Emma Doyle from Dublin.  Both Hoping I will become President.  I hope I can justify their hopes and confidence, because we are at a crossroads. It is not time for experimentation. It is time for conviction, principle, positive symbolism, leadership, hope, and dedication to duty. These may be old fashioned words but they are of enduring quality, and will give real prospects for the future of our young people.

Though I do not feel worthy of your generous and trusting words Richard and Emma, I promise you and all of the people of Ireland I will not let you down. I will remember what I learned at my parents knee and I will make them proud, and I will make our country proud.

As I have said on another occasion: My life’s journey has taken me from the home of my widowed mother in Inchicore to the Dáil, the Mansion House, Iveagh House and Brussels.  From the President’s study in the Aras, which I visited many times as Minister, the floodlights of C.I.E. Works, where I worked as a boy, are visible as a clear landmark.  If I am elected President, this landmark shall be a daily reminder of where I came from and that my sworn duty is to serve the welfare of the people as well as to uphold the Constitution and the law.

Can we do it?  Can I do it?  Of course we can.  I have the experience, the history and the heart. 

Go raibh míle maith agaibh.

When I became Taoiseach four months ago, I was under no illusion that all of the country’s problems could be fixed immediately.

I knew that many difficult decisions would have to be made and that the state the country was left in meant that everybody would have to play their part in our recovery.

I pledged then to try to the best of my ability to steer the country back to recovery, and I made it clear that I expected the same level of commitment and dedication from all of my Ministers.

Let me be very clear: I am not blind to the hurt and the anger caused by the closure of the Accident and Emergency department at Roscommon Hospital.

I am aware that hundreds travelled to Dublin on Wednesday of this week to voice that anger and indeed, I have met with many of those concerned myself, both in Roscommon and at my constituency office in Castlebar.

I wish to state in no uncertain terms that there is no intention whatsoever on the part of the Government to close down Roscommon Hospital.

We firmly believe that the country’s small hospitals should play a significant role in the Irish Health Service and, accordingly, the vast majority of the treatments that have been provided efficiently in Roscommon over the years will continue as before.

The bottom line here, however, is that the situation as it was in Roscommon Hospital was not conducive to patient safety as there was insufficient medical capacity to deal with all possibilities.
The Health Information and Quality Authority (H I QA) expressed serious concern in this regard about the situation in Roscommon, as well as in several other small hospitals.
Consultants in the Roscommon region have also expressed real fears relating to safety.
Minister Reilly has committed to reform the Irish Health Service. He must begin by finding the best and, crucially, the safest solution for all small hospitals.

We have been brought to this point, not by anyone individually, but rather by years of mismanagement by previous administrations.

Minister Reilly has a plan to put this right and these changes to Roscommon’s situation form part of that plan.

This week, the Minister for Health announced that the National Children’s Hospital is to be located at the Mater Hospital site. The announcement follows an independent review which named it as the ideal location for the facility.

An examination of the costs and clinical benefits of building at various sites was carried out by this independent panel.

We will now move swiftly to proceed with this project in the interest of the children of Ireland.

Once constructed, this will be one of the most significant capital investments carried out by the State and the Hospital will provide health services for Ireland’s children into the coming decades.

The Government remains committed to holding the Referendum on Judges’ Pay on the same day as the Presidential Election in the autumn. This will take place despite some degree of opposition.

The Bill to amend Article 35.5 of the Constitution to allow for reductions in the pay of the Judiciary is currently being drafted in the Office of the Attorney General.

The Referendum will ensure that the reductions in Judges’ salaries are confined to circumstances where public service pay generally, especially at senior levels, is being revised in the public interest.

The pressures the country is currently under means that everyone must pay their way, however unpalatable that may be.

Yesterday, I visited the impressive Microsoft facility in Sandyford with Minister Bruton. My appointments in the West today included launching the Mayo Advertiser’s ‘Buy Mayo’ Awareness Campaign, which will aim to encourage Mayo people to purchase their goods and services locally, in so far as possible. This is really something we should all aim to do.

Tomorrow, the Fine Gael Presidential Convention takes place in Regency Hotel, Drumcondra.

The selection process will be based on a new system which will see the Parliamentary Party account for 70 per-cent of the total vote and Councillors for 20 per-cent with the National Executive making up the remaining 10 per cent.

On Sunday, I will attend the National Day of Commemoration at The Royal Hospital, Kilmainham.

I welcome today’s High Court ruling on JLCs which I anticipate will have a positive impact on the Government’s plans to reform wage setting mechanisms, and, accordingly, contribute in a real way towards job creation.

I also welcome the news that mid-year exchequer figures released this week show that Ireland is meeting its targets in respect of the EU/IMF/ECB bailout.

I made a promise on March 9 to work towards a future when Ireland will once again take charge of its own economic destiny. That was my goal then and that is what I will work unreservedly for until such a time as I leave this office.

Kind regards
Yours sincerely

Enda Kenny TD
Taoiseach

Brian Hayes TD, Minister of State at the Department of Finance with special responsibility for the Office of Public Works (OPW) announces free access to all OPW Heritage sites on the first Wednesday of every month, starting tomorrow Wednesday 6^th July.

The Minister said “I have decided to waive the entry fee to all OPW managed heritage properties in order to stimulate an interest in our built heritage and to encourage visits by a wider section of all communities living in Ireland, in addition to visitors from abroad.”

The Minister continued: “I have decided that this free day, which is aimed at the independent traveller, will be the first Wednesday of each month and will apply, as a pilot project, until the end of 2011 when it will be reviewed and I would encourage people to visit www.heritageireland.ie  where further information on all OPW managed sites with a guide service can be viewed.”

This week’s message comes to you from County Kerry.

I have several appointments scheduled in this part of the country over the weekend, culminating in my address to the ICTU conference in the Gleneagle Hotel on Monday evening.

My day began in Limerick this morning where I visited Glenfield Engineering in Kilmallock and attended the opening of Broadford Community Enterprise Centre before opening Deputy Patrick O’Donovan’s constituency Office in Newcastlewest.

Tomorrow, I will take part in the Ring of Kerry Annual Charity Cycle with Minister Jimmy Deenihan. It is a gruelling course – 112 miles – but I know from last year’s event that the spectacular views along the route are reward enough.

The Bike Clinic in Castlebar has kindly provided me with a bicycle which will be auctioned for charity after I complete the course.

The Government has made it clear no bonuses should be paid for the time being to well-paid public servants, and I welcome the fact that many semi-state bosses this week surrendered these payments.

The previous situation was tremendously unfair and could not be allowed continue given our current economic circumstances.

This is not to take away from the hard work and achievements of these people, but we must be realistic and remember that this country is currently in an incredibly challenging position.

Everybody, starting with those at the top, is required to make a contribution and play their part in our recovery.

Accordingly, following consultation with Minister Michael Noonan,  Minister Pat Rabbitte sent a letter to the Chair of each State Company on May 13 stating that he is firmly of the view that such bonuses are inappropriate and that these payments should cease immediately.

Yesterday’s revelation that NTMA employees received over €2 million in bonuses last year is a slap in the face of each of the hard working people of Ireland who are making huge and sustained sacrifices in order to fund the agency, and I am strongly of the view that this is not acceptable.

Minister Brendan Howlin is currently looking at this particular area and will bring forward his report in due course.

Both the shortage of Non-Consultant Hospital Doctors NCHDs and HIQA’s concerns about safety mean that the level of emergency service offered at Roscommon County Hospital will have to change.

Obviously, this is causing much concern for people dependant on this facility, and I met a number of them last Monday.

The fact is that the emergency service in Roscommon will ultimately depend on the number of NCHDs recruited later in the month.

The more there are recruited, the more flexibility the HSE will have in staffing Roscommon Hospital, and, indeed, the other regional hospitals around the country. The Government is committed to securing a real future for our smaller hospitals.

I was delighted to open the Tall Ships Festival in Waterford City yesterday afternoon.

An incredible 500,000 people are expected to visit the city over the four-day festival, bringing in an estimated €30 million to the local economy.

In excess of 50 ships will take part in the ships’ race itself, which kicks off early on Sunday morning. If you happen to be near a vantage point from which to see these spectacular ships sail by, I would heartily recommend it.

Each ship is stunning in its own right, but they are really breathtaking as a group.

On Sunday last I was in Castlebar’s McHale Park to see Mayo overcome Galway. At half-time, I met fellow Islandeady native, Ray Moylette, who won light-welterweight gold for Ireland in the European Senior Boxing Championships in Turkey last week.

Westmeath’s Joe Ward took light-heavyweight gold. The entire Irish team performed magnificently, and all involved are to be commended.

On Wednesday, I launched the National Internship Scheme with Minister Burton at the Facebook Building, Hanover Quay. This is a central component of the Government’s Jobs Initiative.  Over 1,000 firms have committed to participate in the scheme to date, providing over 5,000 placements.

Companies are encouraged to take on an intern for a period of six to nine months, giving them a period of vital work experience and increasing their chances of gaining full-time paid employment.
 
The job seeker must have been on the live register for three months or more to qualify, and will receive an additional 50 euro a week on top of their standard benefits for the duration of the placement.

All vacancies will be listed at www.jobbridge.ie from today, which is the day on which most elements of the Government’s Jobs Initiative come together.

Yesterday, I launched the Government’s Visa Waiver Scheme with Ministers Varadkar and Shatter at Government Buildings. The scheme is also operational from today.

This new initiative will allow tourists and business people from 16 countries already in possession of a valid British Visa to enter Ireland without a visa for a maximum period of 90 days.

I anticipate that the scheme will be taken advantage of in particular during the Olympic Games in London next year.
From today, there will also be a new lower rate of VAT on tourism-related services, and employers PRSI will be halved on jobs paying up to €356 per week.

This afternoon in Kerry, I attended an event with hotel and other business interests where I emphasised the importance of businesses passing on the VAT reduction to the consumer.

My time in Waterford yesterday, and in Limerick and Kerry today, has reminded me of just how much Ireland has to offer the overseas visitor, not least its stunning natural beauty, which is unrivalled throughout the world.

It is my hope that the various measures set out by the Government will help to bring sustained growth back into our tourism industry, and, in doing so, help to set Ireland on the road to recovery.

Kind regards
Yours sincerely

Enda Kenny TD
Taoiseach

I travelled to Brussels yesterday for a meeting of the European Council.

There is no doubt Europe is under a good deal of pressure at the present time due to the ongoing situation in Greece, and, naturally, this was top of the agenda.

More money has now been pledged to the Greeks, provided its parliament fully enacts an extensive austerity plan.

The meeting also considered the latest developments on economic issues and the Euro, and analysed progress made on a range of economic governance issues agreed in March.

Also discussed were other issues including migration into the European Union and the ongoing situation in certain North African countries, and the Middle East.

At the EU Summit last night, the opportunity arose to raise the issue of Ireland’s campaign for a reduction on our bailout interest rate directly with French President Nicolas Sarkozy.

He agreed that the process of talks would continue in this regard.

I later explained to the meeting the efforts Ireland is making to meet the demands placed on us, and spelled out again the need for an interest rate reduction.

The Government will continue to pursue this matter at every opportunity.

My trip to London on Monday last focused on different ways in which we can potentially work together to help bring about economic recovery across Ireland and Britain.

A meeting of the British-Irish Council was attended by British Deputy Prime Minister Nick Clegg, as well as representatives from the Northern Irish, Scottish and Welsh Governments. 

The issue of the trade of renewable energy across the islands, and the possibility of collaboration between the UK and Ireland on wind power, was also discussed.

Later in the day, I met with British-based members of the Global Irish Network in the British Embassy.

While in London, I also welcomed the announcement of a change in the planned European Stability Mechanism (ESM), which will see loans to Ireland from private sources given the same status as loans from the ESM. The ESM is due to take over from the EU’s current bailout structure in 2013.

The Government has been campaigning for this change for some time.

The change applies only to the three current bailout countries, and will mean that current and future private sector lenders to the three countries will no longer have any fear of being “subordinated” to official European lenders in any ranking of creditors.

This is a very positive development for Ireland, and, indeed, for Europe as this new ‘level playing field’ will provide bondholders with a sense of confidence.

I took a short stroll down to the Royal College of Physicians on Wednesday for the announcement of a new alliance between the IMI (Irish Management Institute) and UCC. The partnership will allow leading research to be integrated into UCC’s teaching programmes.

It is hoped this will ultimately enhance the overall quality of Irish management, and make Ireland a leading location for executive education.

I believe the move has the potential to greatly improve the capacity of Ireland’s companies to compete internationally, by placing us at the forefront in management education and innovation, and building further on our business reputation.

I am aware of the perception that serious cutbacks in Special Needs Assistants (SNAs) in Irish schools are on the cards. This is not the case. Any child in genuine need of an SNA will continue to have access to one.

A recent report on the value for money of SNAs and the efficiency of the current situation, however, concluded that there was in fact an over-allocation of SNAs, of 27 per-cent in primary and post-primary schools, and 10 per-cent in special needs schools.

The fact is that SNAs were sometimes awarded in the past, not due to a child’s disability, but rather for therapeutic or pedagogical reasons and this simply could not be maintained in our current climate.

The Minister for Education & Skills is currently allocating 90 per-cent of the SNA posts to those most in need of assistance and will hold back the last 10 per-cent (475 posts) in order to allocate them in cases such as emergency, appeals, acquired injuries or new entrants with special needs demands.

Rory McIlroy’s victory in the US Masters last weekend was a wonderful result for Northern Ireland. It was particularly inspiring in the face of the mayhem being unleashed by a small minority in Belfast at the same time. I have no doubt Rory will have a long and successful career.

The island of Ireland, North and South, has spectacular scenery and world-class golf courses, and I have called on Tourism Ireland to begin a promotional drive in the US to capitalise on this, and to market Ireland as the ‘home of golfing champions’.

Tomorrow, I will attend the official opening of the Peace Bridge in Derry.  The opening will be even more significant in light of this week’s despicable events in the Short Strand area of Belfast. This Government will continue to work closely and co-operate with the newly-elected Assembly and Executive in Northern Ireland, as this simply cannot be allowed to continue.

Kind regards
Yours sincerely

Enda Kenny TD
Taoiseach

The new Government reached its 100-day milestone yesterday.

Commentators are naturally quick to point out what has not yet been done, but the fact is that we have accomplished a great deal since we took office on March 9.

The economic situation inherited by the Government is severe, certainly, but we have already made real efforts to meet the various challenges facing the country head-on.

Tackling our chronic unemployment situation was our top priority from day one.

Accordingly, we launched our Jobs Initiative 10 weeks into office, and I am confident its impact will become obvious in the near future.

On July 1, the Jobs’ Tax on low paid staff will be cut by half, and the rate of VAT on tourism related services by a third.

These measures are, however, only the first stage of the Government’s fulfillment of its pledge to put job creation at the top of the political agenda.

Underpinning our economic projections is a belief that we can create a net additional 100,000 jobs by 2015.

I reiterate to you, once again, that this issue remains at the very core of all Department agendas.

Another of our most pressing priorities was to restructure the banks.

Within three weeks of coming into office, the new Government announced a comprehensive restructuring and recapitalisation plan for the domestic banks that will see the creation of two pillar banks, AIB and Bank of Ireland.

Both depositors and the international markets have deemed this credible.

After six weeks, we completed a re-negotiation of the IMF/EU Programme of Support.

This significantly cut the potential burden on taxpayers under the previous agreement that would have resulted from “firesale” losses by the banking system.

We have also secured almost universal support for an interest rate reduction on the bailout loans, including from the IMF, the European Commission, the European Central Bank and most EU countries.

Securing the reduction remains a work in progress, but all relevant Ministers are continuing to pursue the issue with their respective European colleagues.

There is no doubt that our current situation will demand that difficult decisions are taken in the future, but any decisions we take will be balanced and fair.

That is why, even as we are reforming outdated sectoral wage setting mechanisms, we are also reversing the cut in the minimum wage from July 1.

That is why there will be no income tax increases, and no cuts to social welfare payments, in the budget next Autumn.

And that is also why we will be bringing forward radical reforms to pay and fees at the top layers of the Irish public and private sectors, whether in the professions, the semi-states, the banking sector, or the public sector itself.

The very first thing I did on the day I became Taoiseach was to significantly reduce the pay of Government Ministers, as well as my own.

This Government will remain every bit as proactive and enthusiastic for the next 1,000 days and beyond as we have been for the first 100, and bit-by-bit, I am very confident that Ireland will recover and begin to prosper once again.

My address to the British Irish Parliamentary Association in Cork on Monday morning was the first of several engagements in the Rebel County.  There, I spoke of the new chapter in the British/Irish relationship, as evidenced by the Queen’s very successful visit here last month.

I later attended the Cork Business Person of the Year Awards where Jim Barry, Managing Director of the Barry Group, took the honour.  The Barry Group employs 240 people and runs several franchises including Quik Pick, Costcutter, Carry Out and BuyLo.

It also services a number of independent retailers and off-licences throughout Ireland.

Jim displays an abundance of the courage and know-how needed to drive our country forward in the future.

I then made my way to the Model Farm Road where I was delighted to open the Irish Guide Dogs’ €5 million National Headquarters and Training unit.

This fantastic new facility is very well equipped to meet the requirements of this great Association and the tremendous work they do, day in, day out.

Later in the afternoon, I opened Deputy Dara Murphy’s Constituency Office before visiting the site of Quest Software, Mahon Point.

Quest intend to increase their workforce when the new building is complete.

This site development will involve an investment of €50 million and 300 will be employed on construction, starting immediately.

The Government this week announced the establishment of a committee to look at the extent of the State’s role in the running of the Magdalene Laundries, where the treatment of many women was nothing less than inhumane.

This move is long overdue, and will ensure that the true facts are established.

On Tuesday, I attended Brian Lenihan’s Requiem Mass, where the entire Irish political spectrum was represented.

That evening, I was at the Irish Stock Exchange to officially open the Clearing Services Business venue of the Bank of New York Mellon.

Yesterday, June 16, was, of course, Bloomsday, and I marked the day by dropping into the Bloomsday Breakfast in St Andrew’s Resource Centre.

In the evening, I addressed the Price Waterhouse Coopers Irish Business Leaders’ Dinner at Spencer Dock, where I invited those present to contact me directly with any proposals or ideas they may have to increase their productivity and to help Ireland to become the best small country in which to do business by 2016.

Kind regards
Yours sincerely

Enda Kenny TD
Taoiseach