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Fri 03 Mar 2010Policy of disposal just makes banks weaker

OPINION:Only in Ireland would banks seek to sell profitable foreign assets to shore up their continuing domestic losses, writes BRIAN LUCEY

THE LAST number of weeks has seen major change continue in the landscape of Irish banking. We have seen the continuation of the worrying trend towards lower competition, with Postbank following other non-Irish banks and winding up its retail banking operations. While it is a fundamental requirement that the banks rebuild their balance sheets, it is only now dawning on many that, in the absence of significant competition, this may well arise in large part from increased charges and profits from Irish operations.

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