Nationalising banks ruled out as AIB seeks further €1.5bn

THE Government says it has no intention of nationalising the country’s two largest banks, as AIB revealed plans to raise a further €1.5 billion.

AIB is looking to sell assets after stress tests indicated the company needs more capital in addition to the Government’s investment of €3.5bn.

Similar government stress test scenarios for Bank of Ireland were also carried out and the Department of Finance said they did not indicate a need for any further capital beyond the €3.5bn already invested in the bank.