Dáil Éireann debate -
Tuesday, 5 Dec 1995

Vol. 459 No. 3

Written Answers. - National Debt Statistics.

Jim Mitchell

Question:

67 Mr. J. Mitchell asked the Minister for Finance the percentage of Government borrowing in foreign currencies in each of the years from 1985 to 1994 and for the first ten months of 1995; the value of those borrowings in Irish Punts at the time of borrowing and at the current time in view of exchange rate charges; and if he will make a statement on the matter. [17986/95]

Jim Mitchell

Question:

68 Mr. J. Mitchell asked the Minister for Finance the level of national debt in Irish Punts and as a percentage of GNP and GDP for the latest date for which figures are available; and the rate of the national debt borrowed in foreign currencies. [17987/95]

Minister for Finance (Mr. Quinn)

I propose to take Questions Nos. 67 and 68 together.

The proportion of the national debt held in foreign currencies at the end of each year from 1985 to 1994 and at 31 October, 1995 is as follows:

1985	42.02%
1986	42.66%
1987	40.91%
1988	38.59%
1989	36.74%
1990	35.27%
1991	34.91%
1992	38.42%
1993	40.15%
1994	37.56%
1995 (31 October)	35.51%

The national debt at 31 October 1995 amounted to £30,246 million. Based on the 1995 projections for GNP and GDP, the ratios of national debt at 31 October 1995 to the 1995 GNP/GDP figures are 90.3 per cent and 79.1 per cent respectively.

As the foreign debt portfolio would be made up of very many debt instruments which would be changing on an ongoing basis, it would not be practicable to give the details requested by the Deputy in respect of each individual loan. However, figures showing gains or losses as a result of exchange rate movements on the foreign debt portfolio as a whole are available for 1992 onwards and are as follows:

	£m
1992	-247.0
1993	-1,368.0
1994	+51.0
1995 (10 months)	-315.0

I should point out that the actual cost of foreign borrowing is dependent on the combination of the interest rate applicable to the borrowing and exchange rate movements over the life of the relevant instrument. Thus, it would be expected that exchange rate losses would be offset by the benefit of lower interest rates.