The National Asset Management Agency said today it has redeemed €1.75 billion of senior debt, its third such move this year.

NAMA is trying to repay 80% of its €30.2 billion of senior bonds by the end of next year.

The agency has now redeemed €21.1 billion, or 70%, of the debt issued in 2010 and 2011 when it bought bad loans from the country's banks.

"We are now 70% of the way towards repaying our senior debt and have made excellent progress in removing this contingent liability from the Irish State," commented NAMA's chief executive Brendan McDonagh. 

"We remain on course to redeem all of our senior debt by 2018, two years ahead of our original schedule," he added.

Yesterday, NAMA agreed its largest single transaction to date, with a deal to sell the Project Jewel portfolio of loans to UK property giants Hammerson and Germany's Allianz Real Estate.

The €1.85 billion portfolio includes the Dundrum Town Centre and 50% of the Pavilions and Iliac shopping centres in Dublin.