Kieran O'Donnell (Limerick East, Fine Gael)

The French Finance Minister was enamoured with the Minister because he sold a pup, especially in terms of NAMA. NAMA has not done what it was supposed to do. We made a reasonable proposal and at the time the Minister argued on the basis of it. We proposed that the banks would sort out the problem themselves. There is one great flaw in NAMA, namely, it crystalises the losses and toxic loans straight away. Furthermore, the bank debt is now a contagion for the sovereign debt, so much so that the Minister is not going to the bond auction next month or the following month. There is a moratorium over Christmas.

The NTMA has said for the past number of months that it was going to the bond auction because if it did not it would reduce confidence. The Minister said today it is not going for two months.

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