The Government will release a plan for the part privatisation of AIB as well as the restructuring of the €3.5bn of preference shares and €1.6bn of contingent convertible bonds soon after the release of its 2014 results next March, according to market sources.

The appointment of Des Carville as head of the Department of Finance’s shareholder management unit could see an acceleration of the Government divestment of its stake in the pillar banks, according to Merrion Stockbroker analyst Ciaran Callaghan.

Ireland’s unemployment rate could fall to 12.5% by the end of 2014, although it is still likely to remain in double figures for a number of years, according to Merrion Stockbroker’s latest quarterly economic outlook.