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That ends BBC Scotland's live coverage of the Scottish Parliament on Thursday 26 September 2019.

MSPs backed the general principles of the Scottish National Investment Bank Bill, external is being debated by MSPs for the first time.

The bank is designed to make longer-term investments in Scottish businesses, with £2bn committed by the government for 10 years.

It was first announced by First Minister Nicola Sturgeon in her 2017 programme for government speech.

The economy committee backed the bill in July, but did call for MSPs to have a formal role in setting its long term focus.

MSPs back the general principles of the Scottish National Investment Bank Bill, external unanimously at decision time.

The impact of Brexit is hitting investment, jobs and living standards, Scottish Lib Dem leader Willie Rennie begins.

However, he also says previous government initiatives have failed to kickstart the economy.

The primary mission of the bank must be reflected in the legislation, as well as the breadth and depth of its work, he argues.

Mr Rennie says the legislation does not once mention climate change, but it does need to move the economy away from carbon.

He seeks reassurance that the bank will not make payouts to companies that do not pay the living wage, wondering if this could be put on the face of the bill.

Mr Mackay accepts the desirability of this but suggest primary legislation would not be the best place for it.

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More than 400 bank branches, shops and local businesses have closed or have been winding down in Scotland since the start of 2016, new figures show.

The Federation of Small Businesses is calling for measures to reverse the closures, averaging nine a month.

In a report, it says the Scottish and UK governments must invest in projects to make towns better places to work, live and run a business.

The group also wants a commission to tackle the rise in vacant properties.

Read more.

Andy Wightman begins: "The Greens support the establishment of the Scottish National Investment Bank."

The Green MSP says for too long the focus has been on private capital rather than the public interest.

He says the role of the SNIB should be central in delivering the proposal for a Green New Deal.

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The language of the bill must match the goal of really being transformative, Mr Wightman says.

The Green MSP argues: "There is no vision set out in the bill and that needs to be addressed."

He accepts this is a framework bill but calls for more on the face of the bill relating to tackle climate change.

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Scotland's economy shrank between April and June, according to the latest official figures.

Data released by the Scottish government shows output contracted by 0.3% over the period.

Construction saw a sharp reduction in activity - and Scotland's service sector barely grew.

GDP in Scotland was up by 0.7% over the year, while the UK economy grew by 1.2% over the same period.

Read more.

£2bn might seem like a lot, but it actually would only equate to a 1.4% rise in buisness investment per year, Mr Leonard suggests.

He highlights Scottish Labour's proposal for a £20bn investment bank.

The SNIB must be answerable to both ministers and this parliament, the Scottish Labour leader insists.

He also calls for a limit on the ratio of wages, suggesting a chief executive must not be paid more than 20 times that of the lowest paid worker.

Mr Leonard says the SNIB will not resolve every problem in the economy but it does represent a starting point for building an economy from the bottom up and supporting a low-carbon economy.

Scottish Labour leader Richard Leonard says the country wants a different allocation of resources than would be delivered by the market.

He says the purpose of the bank cannot simply be about the best rate of financial return.

The SNIB must:

• be ethical
• tackle climate change
• be empowered to help build a more equal economy
• for the people

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Mr Leonard wants an industrially radical, not industrially conservative, bank.

This bill "lacks ambition," he adds.

Mr Lockhart says the Scottish taxpayer will be paying £150m in running costs per year, arguing we must therefore see a real return on investment.

He calls for clear targets once the bank is up and running, accepting this does not have to be in the bill itself.

Concern is expressed about whether the enterprise agencies are properly resourced to ensure they can deliver the transformation the SNIB is meant to lead to and Mr Lockhart highlights HIE has only employed one additional staff member to prepare.

On the strategic missions, the Tory MSP calls for details on their delivery and how the government will avoid "repeating mistakes" made previously.

Douglas Fraser
Scotland business & economy editor

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Scotland's main economic development agency has announced a major change in its role.

Scottish Enterprise is reversing nearly 12 years when it has focused on supporting high-growth companies.

It will now shift to a broader role in helping to create quality jobs, with security and wellbeing a priority, and also to tackle inequalities.

The agency, along with Highlands and Islands Enterprise, spends more than £300m of government funds each year.

Read more.

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Tory MSP Dean Lockhart warns Scotland's economy is contracting, growing at half the rate of rUK.

There is a need for transformation to reverse Scotland's decline, he adds.

Mr Lockhart says there are concerns about the policy context in which the bank is being introduced, warning there is a real risk it will fail in meeting its objectives.

There is fundamental confusion about inclusive growth in terms of the bank, he points out.

The Tory MSP calls for clarity around what the Scottish government means by inclusive growth.

"Inclusive growth as a concept means different things to different people."

Mr Lindhurst wonders how non-financial returns can be anchored in the bill, which poses the key question of how to measure success.

He highlights calls for a clearer definition of 'inclusive growth', though he notes placing this concept at the heart of the SNIB was generally welcomed.

Regarding the setting of the bank's missions, the committee convener says parliament must be consulted.

Gordon Lindhurst says the SNIB, as one witness told the Economy Committee, is not really a bank.

The committee convener explains the bank will be expected to perform commercially as well as providing economic, societal and environmental returns.

The plan is to become a funder of funders, to crowd in investors, he explains.

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Mr Lindhurst says hopes for what the bank might achieve are vertiginously high.

He quotes one witness who warned against early criticism saying lemons ripen before plums.

Another warned there will be red ink spilled in the annual accounts until 2023, the committee convener adds.

The Tory MSP welcomes the fact inclusive growth be built into the bank from the start, citing concerns in this area.

Mr Mackay says the principles of social and environmental value must sit alongside financial return and he confirms the government is looking at amendments to the bill for this.

We will also look at how to ensure parliament is consulted on missions the SNIB may undertake in the future, he states.

"The establishment of the Scottish National Investment Bank will be a substantial good for the economy," he concludes.