The CIF wants to get its hands on The National Pension Fund

[mairteenpak]

Former Minister and Construction Industry federation Boss Tom Parlon wants the Government to place the National Pension fund or at least a significant part of it on Deposit with our Banks to improve their liquidity, to fund loans that would improve the climate for his members.


In my humble view this would entail the NTMA cashing in equities at rock bottom prices to fund deposits for the banks. This cannot be a good time to sell shares from the NTMA portfolio.

The Property mess that Tom is obliquely referring to and acknowledging is a mess of the Property Sectors own making.

Surely the banks can get funding form their usual sources, as they have always done. Why is it now necessary for the NTMA to effectively to lend to the Banks. Is the future availability of loans dependent on this money being made available to the Banks?

Could the Property Sector do something imaginative like Shared ownership. Allow the banks to lend 75% of the current value and the Builders to lend by deferred payment the other 25%

That way the Builders would take the risk as opposed to the citizens if we have further falls in property values.

[adamirer]

Should be no Gov intervention. Let the market take its course, it was good enough for last 10 years, its good enough now. Can't get my head around AIB/BOI etc going frm 1bn profits in each of last few years to 'crises'. A bit of a squeeze won't do them any harm.

[mairteenpak]

Me thinks its not just the Builders but the Bankers who are perspiring as well. Its a vicious circle if the banks don't lend the builders don't sell. If the builders don't sell the banks will loose money.

[Aindriu]

Me thinks its not just the Builders but the Bankers who are perspiring as well. Its a vicious circle if the banks don't lend the builders don't sell. If the builders don't sell the banks will loose money.

Awww diddums. Their brown envelopes won't get them out of this will it? It is high time that developers, builders and banks learnt not to bite the hand that feeds them i.e us! It will do them good to suffer a while.

[DaveM]

The only thing to admire about this suggestion is that Tom Parlon actually had the neck to propose it over the national airwaves!

They pumped money into the banking sector in the UK and it had little effect on the credit situation. Diverting our pension fund into the banking sector in an effort to kick start the mortgage market would not represent any kind of value for money for the exchequer and would probably have little or no effect on the property market. Also that overlooks the fact that in all probability the best course of action at the moment is to allow the property market find its own equilibrium without external interference.

[mairteenpak]

With a neck like Tom's the Banks should send him out to beg deposits for them. Tom further undermined confidence in the property market this morning. The only purpose of going on radio was to try and influence public opinion.

[dub006]

This is nationalisation to bail out tom parlons crooked friends.

If our future pensions are raided to provied insurance for these thugs then Ireland as a Constitutional republic is finished.

[digoutday]

this is a shocking u-turn by the former PD, whose mantra when in government was about removing assets from state ownership.

[TradCat]

It's all about risk-taking and entrepreneurship on the way up but everybody wants to be a welfare baby on the way down.

[grassroots]

and they accused the Provos of being theives. In fairness tom was never really a "free marketeer".