Noonan: €1.2 billion of pension reserves already committedBy Sinead O'Carroll
FINANCE MINISTER MICHAEL Noonan has revealed that €1.2 billion of the €5.7 billion National Pensions Reserve Fund (NPRF) discretionary portfolio has already been legally committed to various investments.
That leaves about €4.5 billion in the pot as of 31 March 2012.
Of the €1.2 billion already committed, about €800 million will be invested in Ireland, according to Noonan.
The figures were revealed following a Parliamentary Question posed by Labour TD Kevin Humphreys. The NPRF established in April 2001 to meet as much of Ireland’s growing social welfare and public service pension costs from 2025 onwards. These costs are projected to increase dramatically due to an ageing population.
Noonan also highlighted that the National Treasury Management Agency holds cash reserves and other investments on behalf of the State worth €18.6 billion. The figure includes cash held in the Exchequer Account at the Central Bank, cash held on deposit, housing financing agency guaranteed notes, cash balances in the dormant accounts fund and other ministerial funds.
Parts of the fund have already been used as part of the EU/IMF rescue package, with some going towards the country’s ailing banking system.