The National Asset Management Agency (Nama) has confirmed plans to redeem another €500million of senior bonds on Wednesday, bringing the total amount of senior bonds redeemed this year to €9.1 billion.

Some €16.6 billion has been redeemed since the agency was established in 2009 to address the serious problems which arose in the banking sector as the result of excessive property lending.

This is equivalent to 55 per cent of the total senior debt issued by the agency to acquire loans from participating institutions.

The agency had originally expected to meet the halfway target in 2016. It said it now plans to have redeemed a total of 80 per cent of its senior debt by that date.