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Tue 01 Jan 2009State to proceed with plan to recapitalise AIB and BoI

THE GOVERNMENT has reiterated its determination to proceed with the recapitalisation of Allied Irish Banks (AIB) and Bank of Ireland after their shares fell to historic lows yesterday.

The collapse follows the decision to nationalise Anglo Irish Bank, a move which raised concerns that the State’s two largest banks would not be able to raise new capital from private investors.

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