Banks on property safe track

Ian Guider

The report says that though Irish banks are increasingly reliant on the property market (both home loans and commercial real estate) the rise in indebtedness would not see their profits tumble if the market declined.

Based on its analysis of the major banks and their exposure to property lending, it found that if the institutions were to double their provision for bad debts in the event of credit quality, the decline in profits would still be in single digits.