Almost €6bn wiped off State’s bank holdings in past year

AIB, Bank of Ireland and PTSB’s shares have plunged 50%-54% since 2018

Minister for  Finance Paschal Donohoe: analysts hold out little prospect he will sell  off further bank shares in the foreseeable future. Photograph: Conor Healy

Minister for Finance Paschal Donohoe: analysts hold out little prospect he will sell off further bank shares in the foreseeable future. Photograph: Conor Healy

The Government has seen almost €6 billion wiped off the value of its stakes in the three surviving bailed-out banks in the past year, leaving a notional shortfall in its aim to recoup their rescue costs during the financial crisis.

AIB, Bank of Ireland and Permanent TSB (PTSB) have seen their shares slump by between 50 and 54 per cent over the past 12 months, with the sell-off accelerating in recent weeks as investors fret about the impact of lower-for-longer central bank rates on their income, the growing prospect of a non-deal Brexit, and slower-than-expected mortgage lending growth.

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