Mick Wallace (Wexford, Independent)
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21. To ask the Minister for Finance if he will consider suspending all activities of NAMA in view of the findings of the Comptroller and Auditor General Special Report 94 into NAMA's sale of Project Eagle and the Government-proposed commission of investigation into Project Eagle; and if he will make a statement on the matter. [34050/16]

Michael Noonan (Limerick City, Fine Gael)
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In no way has the integrity of NAMA or the NAMA Board or the integrity of its decisions been brought into question, so I have no intention of directing NAMA to halt its activities. To do so would irreparably damage NAMA's positive contribution to our recovery and damage our reputation as a credible, open and transparent market. By extension, any such interference would be detrimental to the interests of Irish taxpayers.

Halting NAMA's activities would constitute the State taking direct control of NAMA and bring NAMA onto the State's balance sheet, increasing Government debt by over €3.5 billion at a time when Government policy is to reduce the State's debt.  This would constitute a complete u-turn by the Irish sovereign in the eyes of the rating agencies, the sovereign bond market and broader investor community, potentially increasing the cost of government debt, damaging confidence in the recovery of our economy, negatively impacting all of us.

Such action also would raise serious competition concerns limiting the State's flexibility in recovering value from NAMA's remaining assets.  Such action would also create significant challenges for NAMA in retaining staff and preserving a viable platform.

It is important to understand that NAMA's remaining deleveraging is required to eliminate the remaining €3.5bn government guaranteed senior debt, a contingent liability for the State.  Halting NAMA's deleveraging would stall the funding of the 20,000 anticipated residential units and threaten the commercial development in the Dublin Docklands SDZ.  It would also reduce or eliminate the €1.6 - €2.3bn ultimate surplus expected from NAMA if current market dynamics persist.

The Comptroller and Auditor General has raised issues regarding Project Eagle for further discussion.  He has not raised any systemic concern about NAMA and its operations. The Comptroller and Auditor General has not called for a halt to NAMA's activities, which he no doubt would have, had he felt such action was warranted.

The Comptroller and Auditor General report is currently being examined by the Committee of Public Accounts.  The Committee is the appropriate forum in which to consider this report.

The Government recognises that it has its own responsibilities in all matters of public concern to do with the functions of an important public body such as NAMA.  As the Deputy is aware, the Taoiseach has indicated a willingness to establish a Commission of Investigation into matters of public concern that may require further investigation and the most appropriate nature and terms of reference of such an investigation. The Government's objective is to ensure all matters of public concern will be addressed in a speedy and effective manner.