Michael McGrath (Cork South Central, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

The exact relationship between the existing fund and the new fund is one we will consider. One option would be to assimilate the existing reserve fund into the new fund but that detail is under consideration and will be the subject of discussion. However, it is a separate fund and it has a longer term focus and will be invested. The existing fund is administered by the National Treasury Management Agency, NTMA, and is invested typically in short-term Government bonds. It earns a very modest return but in real terms it loses value over time so there is need for a longer term fund that earns a return for the State to meet the cost that will come down the line. The exact investment criteria and drawdown criteria, the triggers for accessing the fund, are matters that will be the subject of discussion and the Oireachtas will have a key input into that because it will require primary legislation.