Written answers

Tuesday, 16 February 2010

Department of Finance

Financial Institutions Support Scheme

9:00 pm

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
Link to this: Individually | In context

Question 187: To ask the Minister for Finance if he will reply to recent media reports of a meeting held between himself and officials of the International Monetary Fund who are set to join the National Assets Management Agency Board of Directors in May 2010, in which the IMF states that they did not believe that NAMA will result in a significant increase in bank lending here; his views on this assessment; and if he will make a statement on the matter. [7601/10]

Photo of Brian Lenihan JnrBrian Lenihan Jnr (Dublin West, Fianna Fail)
Link to this: Individually | In context

The meeting referred to in recent media reports took place in April 2009, almost 10 months ago. At that meeting, I agreed with the IMF delegation that a surge in lending designed to re-inflate the property market to near "boom" levels was not going to happen and neither was it desirable. Furthermore the IMF delegation agreed with me that NAMA was critical to the Government's objective of creating a healthy banking system that would make credit available to viable, sustainable businesses and households. The IMF has given its full backing to the establishment of NAMA. Mr. Steven Seelig, will be appointed to the Board of NAMA in May 2010, when he retires from the IMF. In the meantime, he is available to provide advice, in a personal capacity to the NAMA Board.

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
Link to this: Individually | In context

Question 188: To ask the Minister for Finance if, in view of reports of an exclusive arrangement between Anglo Irish Bank and a company (details supplied) for the latter to acquire a portfolio of properties, this arrangement was subject to a competitive tender process; his views on this assessment; and if he will make a statement on the matter. [7602/10]

Photo of Brian Lenihan JnrBrian Lenihan Jnr (Dublin West, Fianna Fail)
Link to this: Individually | In context

As the Deputy will be aware, Anglo Irish Bank is run on an arms length commercial basis. Consequently, decisions which relate to the normal business of the bank are a matter for the Board of Anglo, and the Board is responsible for making such decisions in the best commercial interests of the Bank. I understand from the bank that in order to reduce its exposure on certain property assets it has engaged with a number of property companies concerning certain assets. On foot of these approaches the bank has identified its preferred option, and is finalising the details of the transaction, which will be subject to regulatory and legal approval, as appropriate. Because of commercial sensitivity, I am not at liberty to provide further details on the nature of the proposed transaction, which remains under consideration by the bank.

Comments

No comments

Log in or join to post a public comment.