Nama to take control of loans at cost of €60bn

The National Asset Management Agency (Nama) is expected to take control of land and development loans from the banks at a cost of around €60bn.

Newspaper reports state that Government sources have confirmed the size of the write-down will be 30% of the €90bn total.

However, the scale of the reduction could leave banks which are heavily exposed to development loans in need of a capital injection from the State.

Minister for Finance Brian Lenihan said the price Nama will pay for the loans will be revealed when the Dáil resumes to debate the bill establishing the agency next month.