Moderate growth for Irish banks

IRISH banks face a year of “moderate” profit growth in 2008 and lower levels of activity, according to ratings agency Standard & Poor’s (S&P) yesterday.

Reporting on the main Irish banks, S&P said lenders will see their provision for bad loans increase, but that it does not expect a major deterioration in credit quality.

The report also highlights that Irish banks, like those worldwide, will face higher funding costs.