Economic and Investment Outlook slide image

Economic and Investment Outlook

Funding needs and sources for 2023 Lower borrowing amid expected EBR surplus ▸ There was one bond redemption in 2023 (€7.0bn in March). There is also a EFSM repayment due this year. Lastly, further buybacks of FRNs from the Central Bank of Ireland are expected (included in other funding requirements). ▸ There is one bond auction in September. This will be the last bond auction of 2023. The Exchequer Borrowing Requirement (EBR) for 2023 is expected to be a surplus (hence shown as funding source). ▸ The NTMA is likely to continue to hold significant cash throughout 2023. The balance at year-end 2022 was c. €23bn. €bn 16 14 Increase in cash, 0.9 Other, 2.1 12 Other, 4.7 10 EBR, 4.5 EFSM, 2.0 6 4 2 Bond Redemptions, 7.0 Bond Issuance, 8.0 Funding Requirements Rounding may affect totals 1. On 1 December 2022, the NTMA announced a 2023 bond funding range of €7-€11bn. €8bn is the estimated cash proceeds from nominal issuance of €9bn - the mid-point of the range. Gníomhaireacht Bainistíochta an Chisteáin Náisiúnta 2. National Treasury Management Agency 3. Other funding needs includes provision for the potential bond/FRN purchases and general contingencies. EBR is the Department of Finance's SPU 2023 estimate of the Exchequer Borrowing Requirement Sources of Funding Source: NTMA 388 38
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