Irish banks’ foreign claims rise by €906m

The amounts due from foreign residents and overseas companies to Irish banks increased for the first time in two years during the third quarter of 2013, updated statistics from the Central Bank show.

The consolidated banking statistics detail the claims of the domestic banks on the rest of the world, by counterpart country and sector on an ultimate risk basis.

The Central Bank said at end-September 2013, the domestic banks had foreign exposures of €101 billion, an increase of €906 million over the quarter. The increase was mainly driven by a rise in claims on foreign banks which rose by €565 million (5.9 per cent) over the quarter.

Claims on foreign public and private sectors also rose during the third quarter by €274 million (2.8 per cent) and €85 million (0.1 per cent), respectively.

By far the largest share of domestic banks’ claims is on the UK, with exposures of €73 billion located there. Foreign claims on the UK increased by 0.5 per cent over the quarter.

The outstanding amount of foreign claims on the US decreased by 3.3 per cent during the first quarter.

Claims on the Netherlands meanwhile proved significant in the third quarter, increasing by €308 million.