The National Assets Management Agency (NAMA)

On 30 July 2009 the Irish Government published draft legislation to establish the National Assets Management Agency (NAMA).  NAMA is being set up to acquire eligible bank assets from participating institutions with a view to enhancing the systemic stability of credit institutions in the Republic of Ireland and thereby addressing a serious threat to the wider economy.

The draft NAMA legislation is widely seen as the single most important piece of financial legislation ever introduced in the Republic of Ireland.  NAMA is to be given unprecedented and wide sweeping powers to acquire certain assets from participating institutions and to protect, enhance and realise the value of those assets.  Perhaps the most controversial aspect of the draft legislation relates to the valuation of the assets to be transferred to NAMA by participating institutions and the concept of “economic long term value” to be applied.

The seminar will examine the legal framework in which NAMA will operate, the methodology of the transfer of eligible assets and the actions that NAMA can take to realise a return for the Irish taxpayer.  Also, we will assess the likely impact on the banking system, the Irish economy and the property markets, both north and south of the border.

This brief synopsis was written by Andrew Muckian, Partner and Head of Property at William Fry, Dublin.