A PROPOSAL by Northern Finance Minister Sammy Wilson that the Northern Executive should have a formal role in the development of the National Asset Management Agency (Nama) is being resisted by Minister for Finance Brian Lenihan.
The two men met in Dublin yesterday to discuss the concerns of the Northern Ireland Executive about the impact Nama will have on the North’s property market.
Speaking after the meeting, Mr Wilson said that to safeguard Northern Ireland’s interests, he had proposed that the Executive should have a formal role in taking forward Nama. In response, a spokesman for the Department of Finance said that, while they welcomed the dialogue and understood the concerns expressed by Mr Wilson, they did not envisage the Executive taking a formal role.
Mr Wilson said after the meeting that he had outlined to Mr Lenihan his concerns about the importance of managing carefully the disposal of any stressed bank assets in the North to contain the risk of any detrimental impacts upon the local property market and wider economy.
“I welcome this opportunity to meet with Brian Lenihan to discuss the development of Nama. While the role of Nama is of critical importance to the Irish economy, I have stressed to him the importance of also carefully managing asset disposals to ensure that local Northern Ireland interests are protected,” said Mr Wilson.
He said that initial estimates suggested the value of loans Nama might take over could be in the region of €90 billion, with a considerable element of that being located in the UK, much of it in Northern Ireland.
Mr Wilson used the meeting to underline his concerns at the impact on the Northern Ireland economy of any large-scale move to sell these assets off quickly.
“Nama will obviously have some influence over the management and possible disposal of significant assets located within Northern Ireland, most notably land and development assets.
“It is imperative that this management adopts a prudent and considered position to ensure the long term interests of the Northern Ireland economy, and indeed that of the Republic of Ireland, are protected,” he said.
