Questioning Noonan | On NAMA’s role in the promissory notes deal

Stephen asked Michael Noonan, the Minister for Finance:

if, in view of his statement in Dáil Éireann on 18 March that the money which we accessed for bridging finance from the National Assets Management Agency was money which is due to be repaid to the ECB for the loans it gave to NAMA to acquire the impaired assets in the bank; if he will confirm that this is the case; or if it is the case that the NAMA issued bonds are redeemable in 2020 and not before; if there is a discrepancy, or the appearance of one if he will explain same. Ref No: 20773/12

Minister for Finance ( Mr Noonan) :  

I presume the Deputy is referring to my statement to the Dáil on 29 March 2012.

The money used by NAMA to facilitate a bridging transaction with IBRC and Bank of Ireland was generated from its own resources.

The ECB did not provide loans to NAMA to acquire assets from the participating institutions. NAMA issued Senior Notes to the Participating Institutions which can be extended annually subject to the agreement of the note holders. NAMA has already redeemed €1.25bn of these Notes. I am advised that the objective of the NAMA Board is to redeem all Senior Notes on a phased basis by the end of 2020.