Joan Burton (Dublin West, Labour)

The Minister made an announcement about the delegation of a significant range of banking functions to the NTMA. It seems the agency is taking over a significant quantum of functions in respect of banking that the Department of Finance used to provide. The NTMA is now to deal with the capital needs of institutions, realignment and restructuring within the institutions and the general advice on banking matters. The original date for a significant tranche of NAMA loans to be completed was pre-Christmas. In his reply the Minister has now moved that date back by about two and a half months. Countries in banking crisis, such as Sweden, acted swiftly and rapidly. It is now more than a year since Anglo Irish Bank was nationalised and more than a year since the layout of NAMA was discussed. The Minister is now saying there will be a two-month delay, at a minimum, on the start of transfer of loans. Will the Minister tell the House why he has decided to decant a significant range of functions with regard to banking, from the Department to the NTMA, given that the NTMA is also looking after NAMA? Is it that the Minister has lost confidence in the Department of Finance because of the way it has performed in the financial collapse? Has the Minister been advised by the European Central Bank what view it will take? What is the status of NAMA bonds on their six-month maturity? Can they be cashed?

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