Dáil Éireann díospóireacht -
Tuesday, 3 Mar 1992

Vol. 416 No. 6

Written Answers. - National Treasury Management Agency.

Michael D. Higgins

Ceist:

88 Mr. M. Higgins asked the Minister for Finance if he will give details of, (a) the activities to date of the National Treasury Management Agency since its establishment, (b) the number of personnel seconded from his Department, (c) the number of new staff hired directly and (d) his views on the performance of the Agency, and if he will make a statement on the matter.

Minister for Finance (Mr. B. Ahern)

The National Treasury Management Agency was established on 3 December 1990 by order of the Minister for Finance as provided for by the National Treasury Management Agency Act, 1990. At the same time the Government by order delegated to the Agency the functions of borrowing money for the Exchequer, managing the national debt and related matters. The activities of the Agency relate to these functions.

With regard to the secondment of personnel, 27 officers of the Department of Finance were seconded to the Agency on a temporary basis with effect from 3 December 1990, for a period of up to three months each. The secondment arrangement ended in March 1991.

On the question of new staff, the Agency has a total complement of 53 staff; 25 former civil servants and 28 staff from outside the Civil Service.

I am fully satisfied with the performance of the National Treasury Management Agency to date. The Agency was established to bring increased specialisation to the Exchequer borrowing and debt management operations, so as to ensure that debt service costs were kept as low as possible. I am satisfied that the Agency is achieving this objective. The 1991 budget included a target of £40 million for savings by the Agency on debt service costs this year. This target was achieved and in addition the Agency was able to take advantage of favourable interest rate movements to achieve further savings of £56 million in 1991. The 1992 estimate for debt service costs takes account of £50 million savings to be achieved by the Agency.