Mr. John McCarthy:

Because we are running surpluses etc., the NTMA does not need to go to the markets that much over the coming years. However, if corporation tax were to fall, then obviously there would be a deficit and it would need to go to the market. If it was going to the market now, we would be borrowing at about 2.5% or maybe 3%. Markets are pricing in further interest rate increases later this year and early into next year. As the NTMA goes to the market, the additional borrowing cost will rise. Actually, it does not have to refinance that much debt over the next two to three years. It will take a long time; it will take a few years before the increase in interest rates feeds through into higher borrowing costs.