Sell-off would offer more protection: Honohan

IRELAND’S top banker has said the sale of Irish banks to major international banks would offer much greater protection in the future.

As fears about the extent of bank losses continue to unnerve the markets, Central Bank governor Patrick Honohan told delegates at a Dublin business conference: “They are for sale as far as I am concerned. I’ve been an advocate for a number of years for small countries to have foreign owners for their banks.”

Shares in AIB and Bank of Ireland fell heavily for a second day when Mr Honohan warned that higher bank capital ratios and more disclosures on residential mortgages and other personal loans were crucial steps in restoring confidence to the economy and its banks.