NAMA is to repay the remaining senior Government backed debt three years ahead of schedule.
The National Assets Management Agency has cleared more than 30 billion euro since 2010 and announced it will repay off the final 500 million euro later this month.
Business journalist Vincent Wall says its a positive development;
“There also supporting some of their indebted builders to build 20,000 homes over the next 3 years. But it says it’s on track to deliver a surplus now – however you define a surplus of 3 billion euro to the state within the next couple of years even after it pays 6.3 billion euro remaining in junior debt to the banks.”
Seen as a major liability for Dublin’s finances when it began operating towards the end of a crash that cut property values in half, NAMA has since ridden a surge in demand for Irish real estate and expects to hand a 3 billion-euro profit to the state. In a statement, NAMA Chairman Frank Daly said;
“Today we have delivered on NAMA’s core objective – an objective many people thought unachievable at the outset,”
“Since inception, the NAMA board, mindful of the wider impact on the financial standing of Ireland, has unwaveringly focused on eliminating this senior debt.”
The 500 million-euro redemption completed the repayment of the agency €30.2 billion of senior debt. The agency said it expects to redeem its remaining 1.6 billion of subordinated debt by the first call date, in March 2020.