It is clear that we must have a full debate on the Irish contribution to the EU/ IMF bailout of the Greek economy, and it is essential that there is an opportunity to examine the proposals in detail. It is my understanding that we will now require legislation to go before the Oireachtas before we can participate is this process.

It is regrettable that we have arrived at a situation where there seems to be no option other than to bail out the Greeks. What the EU and IMF are proposing is that countries like Ireland would lend the money to Greece for a period of three years, and would actually make a small margin on these loans. This will allow a period for the Greek enconomy to get to back to some level of stability and for the Greek Govt to take appropriate measure to address its deficit as required of it as a Eurozone member.

The fact that we have been a long term participant in the IMF should mean that crucially, we can exercise some influence in how this deal will be structured. It is only a pity that the EU and the IMF did not move sooner, because had they done so, we may well have avoided the speculative frenzy that we have seen in relation to Greek debt recently, which has led to an steep incease in their cost of borrowing.

It is important that this rescue plan proceeds otherwise Greece, and perhaps other vulnerable countries, could end up being forced out of the Eurozone. At the time of the debates on the Lisbon Treaty, there was huge emphasis placed on the notion of solidarity between members states, and it is at times like that when that solidarity must be brought to bear.

The Govt of Greece now has serious work to do to reduce its massive fiscal deficit. Not to proceed with this plan however, would leave other countries vulnerable to speculators, with smaller countries being picked off.

In the longer term, it is the interests of all Eurozone members, large and small, to see off this immediate threat and to ensure the long-term strength of the currency.

In the meantime in Ireland, the Govt must provide all the details as to our exposure as a result of this development.