Welcome to the May issue of our Distressed Assets e-zine. We are pleased to report that there are further positive signs that Ireland will successfully exit its EU/IMF bailout on schedule at the end of this year. The general government deficit was 7.6% of GDP in 2012 and this is projected to fall to 7.4% in 2013, and 4.3% in 2014, reaching ever closer to our target level of 3% by 2015. There has been significant steady improvement in international market sentiment towards Ireland culminating in the successful issuance of a 4.15% ten-year benchmark bond by the Government in late March, 82% of which was taken-up by overseas investors. The Irish Government and the European Central Bank’s agreement to replace the promissory notes provided to the State-owned Irish Bank Resolution Corporation (IBRC, (formerly Anglo Irish Bank)) with longer-dated government bonds and the consequent liquidation of IBRC will result in a reduction in the State’s General Government deficit of circa €1 billion per annum over the coming years and a €20 billion reduction in the State’s cash borrowing requirement over the next 10 years.
We hope you find this issue of our Distressed Assets e-zine informative. For further information, please contact our Distressed Assets Group.
Brendan Cahill, Partner
To any of the articles from the May e-zine please click on the links below:
- Loan Portfolio Sale
- State Assets for Sale
- Distressed Property
- Sunday Business Post for Sale Recent Legal Developments of Interest