Results 12,901-12,920 of 16,537 for speaker:Brian Lenihan Jnr

Fiscal Policy. (10 Mar 2010)

Brian Lenihan Jnr: The economic downturn from the middle of 2008 meant that the Government has had to take urgent and decisive action to stabilise our public finances. This has inevitably required a series of reductions across all areas of public expenditure, including capital expenditure. The NDP, when launched in early 2007, envisaged that Exchequer capital investment would be €76 billion over the period...

Fiscal Policy. (10 Mar 2010)

Brian Lenihan Jnr: Almost 5% of GDP is quite a high level of capital investment compared to many other member states in the eurozone. That said, it is justifiably high given our infrastructural needs. The Government's commitment to peg the figure at a definite sum for the next five years is welcome and ensures there is stability and certainty about the continuance of that level of public investment. Deputy...

Fiscal Policy. (10 Mar 2010)

Brian Lenihan Jnr: On a stimulus package, every country in the world has been faced with similar problems to ours and all have had recourse to some form of stimulus through the injection of moneys by central banks in the countries concerned. We have seen this in the United Kingdom and in the United States. Ireland is in a free trade area and we have provided a substantial stimulus. Members of the House must...

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: As I stated in my Second Stage speech on the NAMA Bill on 16 September last, it is likely that some institutions will require additional capital in order to absorb the losses arising from the transfer of their impaired assets to NAMA and in order to maintain appropriate levels of capital. I made clear in the speech, to the extent that sufficient capital cannot be raised independently or...

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: Based on the information provided by me in mid-September to this House, the scale of Anglo Irish Bank's NAMA-eligible loans are such that they will give rise to some additional capital requirement for the State - there is no question about that. I am currently assessing the scale of any further capital support for Anglo Irish Bank in light of the emerging accounting end-year financial...

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: No, the accounting period was changed so it is preparing the accounts to 31 March 2010. These accounts have not been finalised and it would therefore not be appropriate for me to comment on these in view of the commercial sensitivities involved. That is the official position in regard to the accounts at Anglo Irish Bank. The accounting period will end on 31 March of this year, making it a...

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: I will communicate with the Deputy on it because the information at my disposal is that it is preparing its accounts for the 15-month period to 31 March this year.

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: The Deputy asks a number of very pertinent questions. On the question of an announcement about the capitalisation, as I indicated already to the House, the first round of the NAMA valuations are approaching completion. At that stage, once the first round of NAMA valuations are announced, there will then be an actual estimated position in regard to each institution. Deputies will recall...

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: Deputy O'Donnell will be aware that under the NAMA legislation I will issue guidelines to ensure that small and medium-sized enterprises, sole traders and farm enterprises, will have recourse to an independent, external review of decisions of credit refusal by the NAMA-participating banks. I hope banks not participating in NAMA or covered by the Government guarantee will also decide to join...

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: The Deputy has asked many questions. With regard to the nature of the regulations, the Deputy's subsequent questions are more interesting, if I may say so, because I will be repeating myself. I indicated to Deputy Burton that there are two elements to the regulations, one deals with the actual appeal mechanism and side by side with that is a sectoral analysis of each bank's performance. We...

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: We have let the treasury departments of the banks do that but clearly there is a degree of co-ordination with the NTMA in the sequencing of bond issues.

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: I will then deal with the Deputy's two other questions.

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: If we do not set up an assets relief agency, which is an established feature of the banking rescue landscape in virtually every country in the world, we will not be in a position to provide credit. The whole purpose of NAMA, as I have pointed out many times, is to accelerate bank losses so that we can ensure that the banks are in a position to lend-----

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: If we decide to leave all these assets on the banks' balance sheets, we will not have any credit. That has been the experience of the past 18 months. The Deputy referred to interest rates and interest rate difficulties-----

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: Interest rates reflect the cost of money. If the position is that deposit rates are high in Ireland, correspondingly, interest rates will be high in Ireland because banks have to pay interest on foot of the deposit. We need to have a real discussion about the banking problems here and let us move away from the sloganising that has unfortunately taken the place of real debate in many cases.

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: I will get a chance on this one, anyway.

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: As the Deputy will be aware, the Credit Institutions (Financial Support) Scheme 2008 will expire on 29 September 2010. This scheme was introduced following the collapse of Lehmann Brothers and the following liquidity crisis of September 2008. However, the funding of Irish banks has improved dramatically in the intervening period and the blanket guarantee will no longer be necessary into the...

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: In the absence of the ELG, many of the banks found it difficult to finance themselves beyond 30 September. An amount of senior debt would lapse on that date anyway. It is precisely to avoid that danger arising for the banks that the ELG legislation provided for the option of the bank refinancing beyond that date under guarantee so senior debt could be rolled out in an orderly manner for the...

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: No.

Bank Recapitalisation. (10 Mar 2010)

Brian Lenihan Jnr: The Deputy was wrong to detect a note of doubt. Subordinated debt is out. Fianna Fáil did not introduce it, the Government and this House did and the Government did on it advice from the Central Bank, the regulator and the other authorities.