Written answers

Tuesday, 28 January 2014

Department of Finance

EU-IMF Programme of Support

Photo of Michael McGrathMichael McGrath (Cork South Central, Fianna Fail)
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213. To ask the Minister for Finance the amounts currently borrowed from the International Monetary Fund under the EU-IMF programme; the current rate of interest payable on these borrowings; the maturity date of the loans; and if he will make a statement on the matter. [4166/14]

Photo of Michael NoonanMichael Noonan (Minister, Department of Finance; Limerick City, Fine Gael)
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As of end-December 2013, the nominal liability of loans from the IMF under the EU/IMF Programme stood at €22.5 billion. The details of the individual IMF loan amounts as provided by the NTMA are set out in table format below. The table also provides information on the IMF loan maturities. As of end-December 2013 the overall blended euro equivalent interest rate on Ireland's IMF loan is estimated by the NTMA to be 4.16%.

Since 18 January 2014 a further 'time based surcharge' of 100 basis points has been applied by the IMF to the amount of Ireland's loan in excess of three times its IMF quota, currently about €4.25 billion. This is a standard change of lending in accordance with the rules of the IMF's Extended Fund Facility and is applied if a country's credit remains above 300 percent of quota after three years.

Liabilities outstanding at end December 2013 under the EU/IMF Financial Assistance Programme

LenderNominal Loan Amount¹Date  of Draw DownMaturity DateTerm from Date of Drawdown
International Monetary FundAmortising:4.5 -10 yrs
SDR 5.01 billion18-Jan-1118 Jul 2015 - 18 Jan 2021
SDR 1.41 billion18-May-1118 Nov 2015 - 18 May 2021
SDR 1.32 billion07-Sep-1107 Mar 2016 - 07 Sep 2021
SDR 3.31 billion16-Dec-1116 Jun 2016 - 16 Dec 2021
SDR 2.79 billion29-Feb-1231 Aug 2016 - 28 Feb 2022
SDR 1.19 billion15-Jun-1215 Dec 2016 - 15 Jun 2022
SDR 0.76 billion28-Sep-1228 Mar 2017 - 28 Sep 2022
SDR 0.76 billion20-Dec-1220 Jun 2017 - 20 Dec 2022
SDR 0.83 billion27-Mar-1327 Sep 2017 - 27 Mar 2023
SDR 0.83 billion27-Jun-1327 Dec 2017 - 27 Jun 2023
SDR 0.68 billion27-Sep-1327 Mar 2018 - 27 Sep 2023
SDR 0.58 billion18-Dec-1318 Jun 2018 - 18 Dec 2023
IMF SDR TotalSDR 19.47 billion  
IMF EUR Equivalent Total€22.53 billion  7.3 yrs weighted average life
 

Photo of Michael McGrathMichael McGrath (Cork South Central, Fianna Fail)
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214. To ask the Minister for Finance if Ireland is permitted to repay early its loans under the EU-IMF programme; the rules that would apply to early repayment; and if he will make a statement on the matter. [4167/14]

Photo of Michael NoonanMichael Noonan (Minister, Department of Finance; Limerick City, Fine Gael)
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It would be possible for Ireland to make early repayment of the EU/IMF funding. However, each source of funding forms an integrated part of our EU/IMF programme funding (totalling €67.5 billion), and as such cannot be separated out from the funding received from our other programme partners. The question of early repayment of any one lender cannot therefore be treated in isolation from other lenders and market expectations for when programme loans are due to be repaid.

The early repayment of, for example, IMF funds would trigger automatic mandatory proportional early repayments to the EFSF, EFSM, United Kingdom, Kingdom of Sweden and Kingdom of Denmark. This would apply in respect of each of the programme funding partners.

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