BoI says it has met €10bn target

Bank of Ireland has met its target of divesting €10 billion in international loans, it said today.

In a statement this morning, the bank said it had sold €10.3 billion at an average weighted discount of 7.9 per cent, within the assumptions used as part of the stress tests carried out last year.

The bank said today it has agreed to sell a portfolio of UK infrastructure project finance loans to the Danish pension fund PensionDanmark, with total drawn and undrawn commitments of €270 billion.

The pension fund will pay a price of 83.5 per cent of the commitments, Bank of Ireland said in a statement.

The sale of €10 billion in international loans was a key component in reducing that bank's loan book to €90 billion. In addition to the loan sales, Bank of Ireland was scheduled to accept repayment of another €20 billion by the end of 2013.

This morning, it confirmed it was on target to meet this goal.

The proceeds from the sales have reduced its funding dependency on the Central Bank and European Central Bank.