The intervention by the Bank of England, which launched an emergency bond buying programme yesterday after the UK government's mini-budget sparked turmoil on financial markets, contrasts markedly with the strength of Ireland's funding position, according to the National Treasury Management Agency.
The NTMA announced yesterday that it does not need to borrow for the remainder of the year.
The NTMA's chief executive Frank O'Connor said it speaks to the flexibility that Ireland now has to decide how and when it borrows.
We need your consent to load this rte-player contentWe use rte-player to manage extra content that can set cookies on your device and collect data about your activity. Please review their details and accept them to load the content.Manage Preferences
"We are really in the opposite position where we are saying to the market we need to borrow less, reflective of our strategy and improving fiscal position whereas at the moment the market is grappling with the UK wanting to borrow more," Mr O'Connor said.
"We borrowed at low interest rates and borrowed for much, much longer "that allowed us to smoothen and lengthen Ireland's maturity profile which means we have less debt to mature in the years ahead," he said.
While there will be no more auctions for the rest of the year, the NTMA will be busy. Mr O'Connor said it is not just the day of the auction when the work is done.
"It's a long term relationship with investors," he said. " With over 90% of our funding coming from overseas investors, we've got to be talking to investors constantly."
