With the purchase of just over €70bn of debt and bad loans from a multitude of developers and reckless banks for €30.5bn, Ireland’s sovereign state has become one of the largest property management companies in the world. The property portfolio spans the globe. The only difference is that the property management agency is not a company, but a sovereign state.
The unfettered and failed expansionist ambition of developers and “buy-to-let” entrepreneurs exposed the Irish banking system to massive levels of over leverage, resulting in bail-outs by the IMF, ECB and our EU partners. Mind you, the story our EU partners DON’T want you to know about is how much THEY stand to lose out if another major Irish bank fails. Why? Because it was their own banks, Deutsche Bank, Societe General, RBS, ING, to name but a few, that willingly invested or lent money to the Irish bank sector, and whom stand to lose out a lot more if the Irish economy defaults and fails. However, it’s not all doom and gloom. The report below sets out to explain a little on how we got to where we are today, and what, if anything, NAMA intends to do to make a return for the Irish taxpayer.
Click on the image below to open up the video.