Danske cuts its bad loan provision

Danske Bank Ireland has set aside €750m as a provision for bad loans, a decrease of 12% on the amount that the bank had set aside last year.

The bank’s total loan book was €7.2bn and in its full-year statement it said that the €3.2bn mortgage book remains satisfactory, but the commercial property sector is suffering.

Danske Bank’s country manager, Terry Browne said that the Irish branches’ performance — which resulted in an operating loss of €2m — was expected.