Michael Noonan (Limerick City, Fine Gael) | Oireachtas source

I thank the Deputy for this very important question. Yesterday, I signed off on the most recent quarterly report for NAMA to go to the Government next week. We will publish it immediately after that, providing a very full update on the quarterly position with reflections back on the annual position.

Under section 10 of the NAMA Act 2009, NAMA's principal commercial objective is to achieve the best achievable financial return for the State, having regard to the cost of acquiring and dealing with bank assets and its own cost of capital and other costs. The NAMA board is seeking to fulfil this objective through three major strategic initiatives, each of which is predicated on conditions in the Irish market remaining favourable and on NAMA being in a position to retain specialist staff.

First, NAMA aims to, and remains confident it will, redeem all of its senior debt, originally €30.2 billion, by 2018. This is two years ahead of schedule. By the end of 2015, it had redeemed a cumulative 73%, or €22.1 billion of its senior bonds, and it is well on its way to meeting its end of 2016 target of 80%, or €24 billion.

Second, NAMA has committed to facilitating the timely and coherent delivery of key grade A office, retail and residential space within the Dublin docklands strategic development zone, SDZ, where a number of assets secure NAMA loans. Already, out of a total of 3.8 million sq. ft. of commercial space to be ultimately delivered, 2.5 million sq. ft. is either under construction or has received or sought planning permission.

Third, NAMA has committed to funding the delivery of 20,000 residential units on a commercial basis by the end of 2020 on sites securing NAMA's loans in the greater Dublin area and in other locations.

NAMA is satisfied, based on current market conditions, that these commercial and residential delivery programmes can be funded without compromising its debt redemption targets and will enhance its projected terminal surplus.

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