Olwyn Enright
Question:119 Deputy Olwyn Enright asked the Minister for Finance the way he plans to fund a recapitalisation programme for the banks during 2010. [5217/10]
View answerWednesday, 3 February 2010
Questions (58)
Written answers
I indicated last September that, following the transfer of eligible bank loans to NAMA, it is likely that institutions will require additional capital in order to absorb the losses that will arise and to maintain appropriate capital levels. Institutions should explore all available options, both internal and external, for raising such capital. However, I also stated that, to the extent that the institutions are not in a position to raise sufficient capital from such sources, the Government remains committed, consistent with EU rules, to providing relevant banks and building societies with an appropriate level of capital to enable them to continue to meet their regulatory requirements.
The level of additional capital that may be required for individual institutions in 2010 arising from NAMA and other commercial factors has yet to be determined, though the Financial Regulator and my officials and advisors continue to monitor the position. The nature and source of any such necessary capital support for any particular institution will fall for consideration and determination in due course on a case by case basis having regard to the above framework.