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

As per NAMA's most recent section 55 quarter 1 report which is available on its website, the par value of its outstanding loans was €39.6 billion at the end of March. I am advised by it that its section 55 quarter 2 report will be finalised shortly and disclose the par value of its outstanding loans at the end of June. I am further advised that its disposal strategy is, as previously outlined, designed to take full advantage of strong purchaser interest in loans and property assets securing its loans. NAMA utilises a range of disposal mechanisms, including loan sales, portfolio sales and individual asset sales, to take maximum advantage of purchaser interest and ensure the greatest possible return to the State. Its successful sales strategy which has been predicated on releasing loans and assets for sale in accordance with the level of demand and absorption capacity in each of its main markets - for example, in the period up to 2013, NAMA concentrated sales activity in Great Britain, primarily London, and has since moved to take advantage of the strong recovery in Irish demand - means that it is on track to repay all of its senior debt by 2018.

As regards accountability, I remind the House that NAMA is already subject to a high level of public accountability compared to other commercial bodies, including commercial bodies in the State sector. Its accounts are comprehensively audited by the Comptroller and Auditor General. It is within the power of the Comptroller and Auditor General to scrutinise any aspect of its work, as most recently seen in the report on Project Eagle referenced by the Deputy. The Deputy will note that the Comptroller and Auditor General did not recommend increasing NAMA's accountability in his report. The value for money report was effectively an accelerated module of the Comptroller and Auditor General's normal section 226 review of NAMA required under the National Asset Management Agency Act.

As already provided for in the NAMA Act, in 2015 the Comptroller and Auditor General committed to reviewing a broad sample of NAMA's sales and investment decisions as the focus of its next section 226 report.

The chairman and chief executive are also accountable to the Committee of Public Accounts and other committees, and give evidence to those committees whenever required to do so. Indeed, NAMA is appearing at the Committee of Public Accounts today to discuss the Comptroller and Auditor General's value-for-money report.

I, as Minister for Finance, also have specific powers to review and assess NAMA's activities under section 227 of the NAMA Act.

Additional information not given on the floor of the House.

The last section 227 review supported the implementation of the NAMA board's current disposal strategy.

In addition to the above, the board of NAMA must comply with its obligations under the NAMA Act. Section 18 of the NAMA Act sets out the principal responsibilities of the board, which are to ensure that NAMA discharges its functions efficiently and effectively, to set strategic objectives and targets for NAMA, to ensure that the appropriate systems and procedures are in place to achieve the strategic targets and objectives and to take all reasonable steps available to it to achieve those targets and objectives. The board has established four statutory committees, under section 32 of the Act, to assist in the discharge of its responsibilities and obligations: audit committee, credit committee, finance and operating committee and risk management committee.

NAMA's annual reports, quarterly reports and annual statements are all laid before the Houses of the Oireachtas. The level of disclosure in NAMA's reports is comprehensive and professional. Any recommendations resulting from the Committee of Public Account's review of the Comptroller and Auditor General's value-for-money report will be considered in due course. However, in light of the high level of accountability to which NAMA is currently held it is not currently appropriate to contemplate any additional oversight measures not already provided for in the NAMA Act.

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