Dáil Éireann Debate, Tuesday - 14 February 2017
137. Deputy Pearse Doherty asked the Minister for Finance further to Parliamentary Question No. 111 of 25 January 2017, the total amount written off in debt for each row in the table; and if he will make a statement on the matter. [6783/17]
Amharc ar fhreagraMy reply to Question No. 111 of 25 January 2017 stated that 505 debtor connections with a par debt of €27.3 billion had exited NAMA by end-2016.
I am advised that NAMA wrote off a total of €956 million of par debt in respect of these 505 debtor connections, which is less than 4% of the original par debt of €27.248 billion acquired by NAMA relating to these 505 debtor connections. Annual debt write-off amounts are disclosed in NAMA's Annual Reports.
Debt is written off only in cases where all of a debtor's underlying assets have been realised and there is no further recourse available to NAMA to recover borrowings from the debtor - that is, when all avenues to recover borrowings have been exhausted.
It is important to note that not all debt includes personal guarantees or has personal recourse and that recourse can be limited to the value of the assets which in many cases is lower than the outstanding amount borrowed.
The following table provides a breakdown of the 505 debtor connections that had exited NAMA by end-December 2016. Debtor connections are banded by reference to the percentage of par debt repaid. The table sets out (a) the aggregate amount of par debt at the point of acquisition by NAMA and (b) the aggregate par debt written off by NAMA for each percentage band.
Debtor Connections Exited NAMA
|
% of PAR Debt Opening Repaid |
Count |
PAR Debt €m |
PAR Debt Write-Off €m |
|
=100% |
61 |
2,892 |
0 |
|
>=90% |
13 |
3,083 |
164 |
|
>=80% |
11 |
695 |
22 |
|
>=70% |
23 |
3,043 |
165 |
|
>=60% |
20 |
919 |
94 |
|
>=50% |
31 |
2,612 |
210 |
|
>=40% |
53 |
2,333 |
100 |
|
>=30% |
68 |
3,113 |
49 |
|
>=20% |
82 |
3,941 |
90 |
|
>=10% |
92 |
3,001 |
22 |
|
>=5% |
38 |
1,372 |
24 |
|
<5% |
13 |
243 |
16 |
|
Total |
505 |
27,248 |
956 |
Note: numbers may not sum due to rounding.
