Dáil Éireann Debate, Thursday - 21 July 2016
816. Deputy Darragh O'Brien asked the Minister for Transport, Tourism and Sport the way his Department plans to use the moneys the State received from the sale of its stake in Aer Lingus; and if he will make a statement on the matter. [23827/16]
View answerOn the 26th of May 2015 it was announced that the previous Government had decided to support IAG's takeover offer for Aer Lingus. The previous Government also decided that the proceeds of any sale would be invested in a new 'Connectivity fund' as a sub-portfolio of the Ireland Strategic Investment Fund (ISIF).
The offer closed on 2 September 2015 and the Exchequer received €335 million in September 2015 for its 25.1% shareholding.
The Minister for Finance subsequently received Oireachtas approval for the proceeds to be paid into this fund in accordance with Section 46(2) of the National Treasury Management Agency (Amendment) Act, 2014. This further investment strengthened ISIF's capacity to support economic investment. The connectivity fund is designed to support projects which enhance Ireland's physical, virtual or energy connectivity.
I understand from the Department of Finance that the fund will operate on a commercial basis and therefore not constitute Government expenditure.
Any parliamentary questions in relation to the management of the Fund should be addressed to the Minister for Finance.
