Other NAMA issuance
In addition to the debt issued to fund the purchase of loans from the participating banks, the National Asset Management Agency may require funding to meet new lending and working capital commitments. Section 50 of the Act enables NAMA or NAMA group entities to issue debt securities, with or without the guarantee of the Minister, for the financing of its general operations. Section 50 (3) of the Act sets a maximum limit of €5 billion on such issuance.
In 2010, NAMA established a short-term Euro Commercial Paper (ECP) funding programme for this purpose but given positive liquidity generation to date and the deterioration in sovereign bond market conditions, no issuance has occurred to date and plans to create a Medium Term Note (MTN) programme have been deferred.
Euro Commercial Paper (short-term) programme
Debt issued under this programme would have maturity of less than one year and would be used to fund short-term cash flow requirements and provide liquidity buffers.
Medium Term Note (MTN) programme
Debt under this programme would have a maturity of between two and ten years. Funds raised under this programme would be used, for example, for project finance or to fund investment in joint ventures.
Overview of the terms of the Programme