The National Assets Management Agency is to take control of Ireland's top 50 property developers who have loans of €30bn by Christmas.
NAMA will take on €22bn of loans for properties based in the UK - the majority of which are within the M25 motorway around London.
That area is enjoying a recovery in the property market in advance of the 2012 Olympics.
Meanwhile, the legislation setting up NAMA will run to 200 pages and will be published in next ten days in draft form.
Despite legal action by ACC bank against a number of developers Minister for Finance Brian Lenihan says the Government plan will not be derailed.
Minister Lenihan said he does not want NAMA to be a happy hunting ground for lawyers.
NTMA: Ireland must address cost base
The National Treasury Management Agency, which oversees NAMA, has said Ireland will have no difficulty repaying the national debt due to its significant cash reserves.
However, NTMA Chief Executive Dr Michael Somers said that Ireland had to address its cost base.
Read the NTMA annual report
Due to the fact that Ireland is spending €400m more than it is raising in taxes every week the country has to borrow; the NTMA is the organisation charged with that task.
Mr Somers said the organisation had seen international opinion towards Ireland improve in recent months.
He stressed that the agency had nearly raised all the money it needed for 2009.
But the NTMA annual report shows that in future years, €2 out of every €10 collected in tax will go to pay the interest bill on the national debt. At the moment that figure is €1 in €10.
The agency said it had so far raised €21.7bn on the bond markets.
It is aiming to raise €25bn to fund the Exchequer deficit and a €5bn bond which matured earlier this year.
The NTMA says 9.4% of tax revenue will go to pay interest on the national debt this year, up from 3.8% last year.
The agency says this figure is likely to rise substantially in the coming years - reaching 18.7% in 2013. However, it says that this is no greater than the levels of the mid-1990s.
The NTMA says Ireland's national debt is forecast to rise to 73% of economic output by 2013, without taking into account debt issued in connection with the National Asset Management Agency (NAMA).
The agency also says it is possible that NAMA debt may be classified as outside the Government sector by the EU.
