Michael McGrath (Cork South Central, Fianna Fail)
Link to this: Individually | In context

Question 87: To ask the Minister for Finance when Ireland will return to the international bond markets in view of the IMF requirement that there must be certainty concerning the funding of a Programme country at least 12 months in advance of when that country is due to exist the Programme; and if he will make a statement on the matter. [36163/12]

Michael Noonan (Limerick City, Fine Gael)
Link to this: Individually | In context

I am informed by the National Treasury Management Agency (NTMA) that it is the stated intention of the Agency to return to the capital markets as soon as circumstances permit. The conditions to allow for a successful return to the markets include the continued implementation of the programme agreed with the EU-IMF and progress in resolving the sovereign debt and banking crises in Europe. Our continued successful implementation of the EU-IMF Programme of Support, as repeatedly confirmed by the EU/ECB/IMF reviews, along with our firm commitment to achieve the programme targets combined with the measures agreed by EU Heads of State or Government on 29 June, have reinforced the confidence which investors have in Ireland. This is evidenced by the decline in our bond yields and the successful Treasury Bill auction carried out by the NTMA on 5 July. Between now and the end of the year, the NTMA plans to hold three to four auctions of short-term Treasury Bills similar to the one successfully concluded on 5 July. The Agency is planning to diversify its sources of funding through the first Irish sovereign issuance of amortising bonds and inflation-linked bonds specifically tailored to the needs of the domestic pensions industry. Market conditions permitting, the aim is also to issue a conventional medium to long-term bond.

I am confident that the IMF will remain fully satisfied with the NTMA's plans for a phased return to the markets, which has already commenced with the recent Treasury Bill auction.