Rose Conway-Walsh (Mayo, Sinn Fein)
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304.To ask the Minister for Finance the effect Micro Finance Ireland and Strategic Banking Corporation of Ireland lending have on both net expenditure, expenditure ceilings, and general Government expenditure, in tabular form; and if he will make a statement on the matter. [33377/24]

Jack Chambers (Dublin West, Fianna Fail)
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The CSO Register of Public Sector Bodies sets out the background and methodology applied to the classification of the general government sector. As set out in the Register, Microfinance Ireland (MFI) and the Strategic Banking Corporation of Ireland (SBCI) are classified as non-commercial entities within the general government sector. Therefore, the expenditure of these entities are included in general government expenditure. Lending by these entities is classified as a financial transaction on the general government balance sheet and therefore has no impact on general government expenditure.

In relation to the effect of MFI and SBCI lending on Departmental expenditure ceilings, the lending itself does not have any direct impact. However, allocations provided to cover inter alia grants, administrative costs and a first loss provision to meet the cost of loan defaults are incorporated in Departmental expenditure ceilings. In the case of certain schemes, a state guarantee was provided to the participating lender in the event of a borrower defaulting on the repayments. Claims paid on this basis would also be incorporated in Departmental expenditure ceilings.

In addition, under certain schemes, borrowers pay a premium for availing of the scheme. The premia income are submitted to Appropriations in Aid.

The amounts paid to SBCI and the impact on Departmental net expenditure is a matter for the Department of Enterprise, Trade and Employment, the Department of Agriculture, Food and the Marine and the Department of Environment, Climate and Communications. The amounts paid to MFI are a matter for the Department of Enterprise, Trade and Employment.