Professor Patrick Honohan:

I would reiterate it is neither our intention nor the design of the current regime to only kick the can down the road and make temporary arrangements. We have not been satisfied with the amount of reliance on temporary arrangements for situations which certainly require permanent loan modifications. This is all within the banks' capacity. We are trying to ensure that the banks have the in-house capacity and the policies to deliver solutions which are as good as the solutions that would be achieved under the PIA.