Investors follow banking stocks

IRELAND’s banking stocks had another good day yesterday, as investors continued to bite on the back of this week’s claims by AIB that it has the power to raise around €4bn in necessary capital without further Government investment.

The bank is likely to need roughly that amount in fresh capital to fill the funding hole left after it transfers its dodgy property loans to the National Asset Management Agency (NAMA), starting later this month.

The bank has long-since claimed a number of options are open to it including strategic partnerships and asset sales. It said this week that it has received notions of interest on both levels (the latter particularly relation to its Polish operations).