NAMA welcomes EU Commission’s State Aid decision

NAMA welcomes decision of EU Commission not to uphold complaint in relation to State Aid

The European Commission (Directorate General - Competition) has today published its decision regarding the residential funding programme operated by the National Asset Management Agency (NAMA).

In 2014, in response to the shortage of new housing supply which was then emerging, NAMA started a programme of funding commercially viable residential development projects under the control of its debtors and receivers. It exceeded its initial target of funding the delivery of 4,500 units by end-2016 and has delivered 7,200 units to date.

In September 2015, NAMA announced plans to expand its residential programme with a view to funding or otherwise facilitating the delivery of 20,000 units by end-2020. In December 2015, a complaint was submitted to the European Commission to the effect that the residential programme may have been in breach of State Aid rules.

Following an extensive review over the period of two years, the Commission has concluded that NAMA has not breached EU State aid rules. NAMA welcomes the Commission's decision and is pressing ahead with its funding programme with a view to maximizing the return on commercially viable residential units from sites under the control of its debtors and receivers.