Government eyes BoI junior debt

THE Government is considering wiping out the value of some junior bonds in Bank of Ireland (BoI) to ensure the lender generates €350 million in additional capital by the end of this year.

Finance Minister Michael Noonan said he was considering applying to the courts for an order forcing losses of up to 100% on over €400m worth of subordinated debt.

He has asked interested parties to make submissions on the possible move by the end of November.