Agency warns it could face losses of €800m on toxic loans

THE National Asset Management Agency warned last night that the taxpayer could face a loss of €800m on the €80bn worth of bad and doubtful loans transferring from Irish banks.

The news emerged yesterday as the agency published its revised Interim Business plan, published last October. NAMA disclosed that only 25% of the €16bn that has transferred to the agency is producing income.

That is significantly less than the 40% level indicated by the participating banks, including AIB, Anglo and Bank of Ireland.