Government Bonds

Dáil Éireann Debate, Tuesday - 21 May 2013

Tuesday, 21 May 2013

Questions (282)

Gerry Adams

Question:

282. Deputy Gerry Adams asked the Minister for Finance further to Parliamentary Question No. 51 of 9 May 2013, if he will provide the reason and not the methodology for the reason the Central Bank of Ireland acquired the 5.4% Irish 2025 bond from Bank of Ireland; if he will confirm if the reason the Central Bank of Ireland purchased the bond was to avoid Exchequer obligations for him in honouring the Ministerial guarantee that was placed over the Irish Bank Resolution Corporation Bank of Ireland repo transaction with Bank of Ireland; if he will explicitly detail the way this transaction was financed by the Central Bank or Ireland; and if he will make a statement on the matter. [24319/13]

Written answers

Minister for Finance

The Central Bank of Ireland (CBI) has confirmed that, in common with other National Central Banks of the Eurosystem, it can hold financial assets only up to particular limits as part of agreements between the various members of the euro system. Furthermore the CBI has confirmed that the terms of such agreements and related issues are a matter for itself and the ECB and not something that I can comment on. As outlined in my response to PQ 19874/13, the CBI has advised that it does not comment on individual investment holdings.