Cabinet to resume discussions on NAMA legislation

The cabinet is set to hold further discussions today on the legislation to establish the National Assets Management Agency.

The body is the most crucial part of the Government's plan for rescuing the financial system by removing toxic loans from the books of Irish banks.

Finance Minister Brian Lenihan presented a 200-page draft document to his cabinet colleagues last week and ministers began discussing the complex legislation yesterday.

The most controversial part of the bill will be the method used to value property assets and the amount of write-down to be applied.

Loans from Ireland's 50 biggest developers are expected to be moved into NAMA before the end of the year.