Irish banks expected to pass EU stress test

ONE German, two Portuguese and a number of Spanish banks are expected to fail the EU’s stress test, with Allied Irish Bank being given a conditional pass according to official hints.

The results will be released this evening at 5pm Irish time, as originally planned by the London based Committee of European Banking Supervisors (CEBS), while details of the methodology used will be released earlier in the day.

Bank of Ireland is expected to pass, as it has already raised the €2.9 billion additional capital it was found to require when it was tested by the Irish regulator in March. Allied Irish Bank, found to need €7.4 billion, will be passed on the understanding that it will raise the money by year end.