Dáil Éireann Debate, Tuesday - 17 January 2017
47. Deputy Paul Murphy asked the Minister for Finance if he will report on meetings he and his officials have had with so-called vulture funds since 2011; his views on NAMA transferring loans to such funds; and if he will make a statement on the matter. [1748/17]
View answerIreland's national debt levels and dependence on international support at the time of the crisis, prohibited the State from directly investing in the distressed assets resulting from the crisis. Exposure to the banks, IBRC and NAMA each became exposures of the taxpayer net liabilities - that had to be reduced for the State to regain financial stability.
Interest from the capital markets led to much needed capital investment in our economy during periods of high risk and uncertainty. This investment allowed us to make important financial adjustments across our system, in particular deleveraging and addressing liquidity concerns of our financial services system, which includes the individual bank asset sales programmes, now largely complete, the liquidation of IBRC and the ongoing disposal of NAMA's assets. Without this investment Ireland would be experiencing a much more difficult recovery. Similarly, Ireland would not be recovering so strongly had NAMA not progressed its mandate in the manner it has. It has only been through the sale of these assets and the accompanying investment that these assets have recovered and are contributing to our broader recovery.
The timely sale and the accompanying investment in these assets are making a strong contribution towards our broader recovery. Think of the numerous renovated hotels, finished housing estates, commercial property developments, ongoing residential developments and the commerce and jobs this creates. All of this is a direct result of investment in Ireland, much of it by the acquirers of these loans.
A key objective in each of these deleveraging processes has been to achieve the best possible financial return for the State. With asset disposal processes occurring and set to continue in both Ireland and across Europe, Irish institutions have and will continue to face competition for investment capital as they seek to achieve the best possible financial return. Ireland is a small open economy and as such we do not discriminate between domestic and international investment capital.
It is a matter of public record that I and my officials have met with many parties over the past number of years with a view to encouraging investment in Ireland. These meetings included global investment funds that have purchased or may be interested in investing in Irish assets.
The Deputy will be aware that the Consumer Protection (Regulation of Credit Servicing Firms) Act seeks to create a consistent level of consumer protections for borrowers regardless of the owner of their loan.
Similarly, all tenants and landlords of residential rental properties across Ireland have the same rights and obligations regardless of who owns the property as set out in the Residential Tenancies Act, 2004 - as soon to be amended.
