Dáil Éireann Debate, Tuesday - 25 March 2014
260. Deputy Thomas P. Broughan asked the Minister for Finance the amounts of senior debt he expects the National Treasury Management Agency to have repaid by the end of each of the following years 2014, 2015, 2016 and 2017. [13964/14]
View answerAs the Deputy will be aware to date NAMA has redeemed a total of €10.5 billion of the Senior Bonds which were issued as consideration for the original loans acquired from the participating institutions in 2010 and 2011. This represents 35% of the senior debt issued in 2010 and 2011 by NAMA to acquire its original loan portfolio.
I am advised that the Chairman of NAMA recently stated that, by the end of 2014, 50% of its senior debt may be repaid if it can achieve all the sales that are currently in the pipeline. I am further advised that the NAMA Board reviews, on a regular basis, the timeframe over which it expects to repay its liabilities and, in doing so, it takes into account its asset disposal projections, cash generation and broader market conditions. I am advised that senior debt redemption targets for 2015 and subsequent years are currently under consideration by the Board. When the Board has agreed these targets they will be submitted to me for approval.
In the context of my Departments review, I have asked NAMA to evaluate their disposal timing and strategy in the context of current market demand and explore the advantages and disadvantages of accelerating its disposal strategy, which includes accelerated bond redemptions.
