Minister for Finance Brian Lenihan has welcomed the EU decision to back NAMA, saying the process of transferring loans from the banks would begin shortly.
Watch the Commission announcement
Mr Lenihan said the first transfer of loans covers loans with an original value of €17bn from the top ten borrowers.
NAMA has told the minister the transfer of these loans is likely to occur in March and that it is on target to complete the process by the final quarter of this year.
'The EU approval confirms that the NAMA valuation methodology is robust, and this will assist NAMA to achieve its objective of obtaining the best achievable financial return for the State,' the minister added.
In a statement this morning, European Competition Commissioner Joaquin Almunia says NAMA is key to cleaning up Irish banks' balance sheets.
The five participating institutions are Anglo Irish Bank, AIB Group, Bank of Ireland, Irish Nationwide and Educational Building Society.
Ireland caused a diplomatic spat when it introduced the bank guarantee without consulting European neighbours. Since then the Government has kept the Commission informed every step of the way.
However, NAMA is one part of a bigger remedy to cure the banks.
Slimming down banks, giving them more money to cushion against bad loans and significant restructuring will be next.
