Michael Noonan (Limerick City, Fine Gael) | Oireachtas source

First, on the NTMA cash balances, in consultation with the NTMA we deliberately got the NTMA to build the cash balances so we had a precautionary buffer as we were going into the markets. That worked out, but they are not needed now so they will be tapered down over the next couple of years. The prudent position according to the NTMA, in its advice to me, is that we hold approximately 16 months cover for the deficit, which is a little below a year and a half. The Deputy can do the sums on that to see what type of money is involved. The Deputy will also have seen the figure the Central Statistics Office, CSO, has released for the first time. It shows that while the gross debt is 124% of GDP, the net debt is now 98%. That is not allowing for the value of bank shares or the like. That is purely the cash on hand element of it.

The NTMA is always looking at how it would sell, buy, swap and change. There is a big repayment cliff in 2016 and its policy, which the NTMA has discussed with me, is to reduce that cliff so that by 2016 we will have dealt with it progressively over the remainder of this year and next year. We are examining the possibility of repaying IMF debt because it is costing us more than European debt or debt we could raise on the market. To answer the Deputy's question about whether any triggers would be activated, if we were to repay IMF debt, we would have to repay the debt to the European funds as well and the bilateral moneys we got from the UK, Denmark and Sweden. On the other hand, however, it would not cost them anything to say, "If it is worth your while to repay, maybe we will let you go ahead." We will see what can be done.