Dáil Éireann Debate, Tuesday - 9 July 2013
246. Deputy Pearse Doherty asked the Minister for Public Expenditure and Reform if his attention has been drawn to the securitisation model which it is argued would allow the State to retain full ownership of companies while raising funds; and if he will make a statement on the matter. [32881/13]
View answerSecuritisation involves the packaging of groups of small and illiquid financial assets into financial instruments that can then be sold to investors. Therefore, securitisation still involves the sale of actual assets, but involves a more complicated sale structure. The securitisation market declined significantly in 2008 following the sub-prime crisis in the US and demand for new issues remains depressed. The use of securitisation to raise funds, as an alternative to direct asset sales under the State Asset Disposal Programme, is not considered to be appropriate by the Government at this time.
