Stockbrokers forecast losses for country’s two biggest banks

IRELAND’s two biggest banks — AIB and Bank of Ireland — are likely to make losses for the next two years, according to one of the country’s leading stockbroking firms.

Merrion Stockbrokers yesterday revised downwards its original earnings forecasts for the two banks and Irish Life & Permanent (IL&P), but maintained that — in its view — full nationalisation of the banks is not warranted.

Saying that, however, Merrion analyst, Sebastian Orsi, still made the claim that further Government funding support will probably be needed.