Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

Ireland injects €3.7bn into Allied Irish Banks

The Irish government has injected €3.7 billion (£3.14 billion) into Allied Irish Banks, effectively placing it under state control.

Ireland will use funds from its National Pension Reserve Fund (NPRF) to boost the bank’s core tier one capital to 8% ahead of the government’s year-end deadline.

The move will hand the NPRF a 93% stake in Allied Irish Banks when the bank completes the sale of its Polish interests to Santander.

The bank will move out of the main British and Irish stock markets on 26 January and apply for a listing on the enterprise market of the Irish exchange.

Irish finance minister Brian Lenihan (pictured) said the funding was a move of last resort.

‘The markets are not willing to invest in the Irish banks because they do not have confidence in them,’ he said.

‘We have to have a banking system in this country and it has to be brought into public ownership. I always made it clear that would be a last resort and we are now engaged in that last resort.’

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Brewin's Gutteridge: what's behind the second oil crash?

Brewin's Gutteridge: what's behind the second oil crash?

This week Brewin Dolphin's research head talks to Will Riley, co-manager of the Guinness Global Energy fund, about what next for oil.  

Play AA-rated Bullas: what drove my UK small cap outperformance

AA-rated Bullas: what drove my UK small cap outperformance

AA-rated Richard Bullas has quietly been making a name for himself at the helm of the Franklin UK Smaller Companies fund.

Play Sector spotlight: how Harwood's Philbin is playing emerging markets

Sector spotlight: how Harwood's Philbin is playing emerging markets

Emerging markets have been a rollercoaster for investors, but amid the doom there have been have been bright spots, such as India. 

Your Business: Cover Star Club

Profile: CHI's bond supremo on liquidity and bond risk management

Profile: CHI's bond supremo on liquidity and bond risk management

'Some people have been extremely complacent about rate rise risk. Myself, I wish they would just get on with it.'

Wealth Manager on Twitter