Oireachtas Joint and Select Committees

Wednesday, 22 March 2023

Committee on Budgetary Oversight

Stability Programme Update: Discussion

Mr. Vasileios Madouros:

Funding is probably a mix of sources. Some of the debt financing might be coming from the pillar banks. We know that an increasing proportion of debt financing is coming from the non-bank specialist lenders that operate here. Of course, then there are the investment funds which are more equity-based financing, or perhaps an investment fund model that supports the construction activity and ultimately owns it and then rents it out, for example, an apartment block. Investment funds themselves might have borrowing from international investors as well as domestic lenders. I would say it is a mix. It is quite difficult to have a very complete picture because there is such a diversity in there. This is an area into which we are looking more, including the diversity and the mix of funding.

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