Uncertainty over foreign banks’ level of protection

IT IS not certain that five foreign-owned banks operating here will be given protection under the Government’s guarantee scheme.

Finance Minister Brian Lenihan confirmed the Government’s intention that the scheme will be made available “to certain banking subsidiaries in Ireland with a significant and broad-based footprint in the domestic economy”.

A finance spokeswoman said the extension would raise the total guaranteed liabilities to €460 billion. However, Labour has claimed the figure is closer to €600bn.