Dáil Éireann Debate, Wednesday - 18 April 2012
19 Deputy Michael McGrath asked the Minister for Finance the impact on this year’s Exchequer returns of the arrangement entered into in respect of the 31 March promissory note payment; and if he will make a statement on the matter. [19262/12]
Amharc ar fhreagraSettlement of the 2012 Promissory Note instalment to IBRC with a Government bond was not completed by end-March for the purposes of the Exchequer Statement. The end-March Exchequer Statement recorded activity up to and including the last working day of the month which was Friday 30th March.
Under the terms of the Promissory Notes, as the due date for payment of 31st March fell on a Saturday, the settlement date fell into April. This improved significantly the Exchequer position at end-March relative to the same period in 2011.
The Government bond that was issued to settle the 2012 Promissory Note payment to IBRC will be reflected in the end-April 2012 Exchequer Statement which must align with what will be recorded in the statutory Finance Accounts for 2012. While the precise details of how to reflect the transaction are presently being examined, the important point is that settlement of the payment with a Government bond means that the State did not have to make a cash payment in respect of the 2012 Promissory Note payment to IBRC.
