Joan Burton (Dublin West, Labour)
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Question 316: To ask the Minister for Finance if he will elaborate on the interest rate assumptions underlying the yield curve scenarios outlined in scenarios 1, 2 and 3 of the draft National Asset Management Agency business plan; and if he will make a statement on the matter. [38299/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The NAMA draft business plan includes projections for interest income and outflows over a ten year period. These projections were calculated by reference to the forward Euro swap rate curve.

The draft business plan goes on to examine NAMA's interest rate exposure and its sensitivity to changes in the yield curve. Pages 11 and 12 of the plan contain an analysis of the sensitivity of NAMA's projected net present value to various yield curve scenarios. The yield scenarios assume various interest rate changes and confirm that under a number of yield curve adjustments NAMA's net present value remains positive.

Of course this is a draft plan prepared at my request by the interim NAMA management and published by me to help inform the debate on NAMA. A revised business plan will be prepared by the NAMA Board and laid before both Houses of the Oireachtas.