The National Asset Management Agency has redeemed a further €1 billion of senior bonds, cutting its outstanding debt to less than 9% of the total it originally issued during the financial crisis.
This is NAMA’s fourth redemption of senior debt this year, bringing the total redeemed in 2016 to €5.5 billion.
This brings to €27.6 billion the amount of senior debt redeemed to date, representing 91% of the €30.2 billion of senior debt originally issued in 2010 and 2011 to acquire bank loans.
NAMA, which paid €30.2 billion to rid Irish banks of €74 billion worth of risky property loans from 2010, had set a target of redeeming 80% of its senior debt by the end of 2016.
NAMA CEO Brendan McDonagh said the agency has now exceeded that figure by €3.6 billion.
“We are now close to eliminating this contingent liability completely and we remain on course to deliver a surplus for Irish taxpayers which is currently estimated to be of the order of €2.3 billion,” he added.
