UPDATE 1-Irish "bad bank" NAMA to pay less for loans

* NAMA to pay 43 bln euros for assets vs 54 bln 1st estimate

* Anglo Irish Bank assets worth less than f'cast

* Anglo Irish to start selling loans to NAMA in 10 days

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By Andras Gergely

DUBLIN, April 13 (Reuters) - Ireland's "bad bank" on Tuesday lowered further the price it expects to pay for risky property loans, potentially affecting the capital-raising plans of five participating banks and the burden on Irish state coffers.

The government said last month that banks would need up to 32 billion euros in extra capital between them to cover losses on discounted loan sales to the National Asset Management Agency (NAMA), the "bad bank", and still meet new regulatory requirements.

NAMA, which was set up last year to rid banks' balance sheets of the legacy of excessive lending that took place during a decade-long property bubble, then said the average discount on a first tranche of loans would be 47 percent. [ID:nLDE62U0B5]

That figure was much more than the 30 percent average estimated by the government last year for all loans to be acquired.

The discount on the first tranche is now seen closer to 50 percent after NAMA said the assets of nationalised Anglo Irish Bank are worth less than anticipated, NAMA Chief Executive Brendan McDonagh said at a parliamentary hearing.

"The experience of actually examining the individual loans has taught us to be very cautious about what we'd expect in future tranches," McDonagh told deputies.

"The information banks were indicating in terms of tranche 1 didn't turn out to be the reality when we examined each loan," he added.

Based on the first transfers, NAMA expects to pay a total 43 billion euros for all loans, compared with the 54 billion estimated last year.

Anglo Irish, the only participant yet to transfer any of its loans, is contributing assets nominally worth 10 billion euros in the first tranche, representing the bulk of the 16 billion the five lenders are selling.

The other four -- Allied Irish Banks (ALBK.I), Bank of Ireland (BKIR.I), EBS Building Society [EBSBS.UL] and Irish Nationwide Building Society [IRNBS.UL] -- have already transferred their first assets.

McDonagh said the Anglo Irish transfers would happen within 10 days.

NAMA plans to buy a second tranche of loans from banks late in the second quarter of 2010 and it may have completed the transfer of all of the loans from 3 of the 5 participating institutions by the third quarter of 2010, McDonagh said.

(Reporting by Andras Gergely and Padraic Halpin; editing by John Stonestreet and Tony Austin)