Michael McGrath (Cork South Central, Fianna Fail)
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59. To ask the Minister for Finance the circumstances under which Ireland would be eligible for the European Central Bank's outright monetary transactions programme; the impact of not applying for a precautionary credit line on such eligibility; and if he will make a statement on the matter. [50037/13]

Michael Noonan (Limerick City, Fine Gael)
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The Governing Council of the ECB made a decision to establish Outright Monetary Transaction (OMT) on 2 August 2012, and issued a press statement on 6 September 2012 which outlined its technical features. According to this the purpose of OMT is: “Safeguarding an appropriate monetary policy transmission and the singleness of the monetary policy”. It is therefore, aimed at addressing systemic risks for the Euro as a whole and is not country specific in that regard. Having a credit line does not of itself guarantee access to OMT. It is a necessary, but not sufficient condition. In that respect, in the absence of systemic risk, the position in relation to Ireland is not fundamentally changed by the Government’s decision last week not to seek a precautionary credit line. The ECB press statement also notes that the ECB’s Governing Council will decide on the start, continuation and suspension of OMT, following a thorough assessment, in full discretion and acting in accordance with its monetary policy mandate.