DUBLIN (Reuters) – Ireland tried to draw a line under its financial crisis on Thursday by saying its banks need a further 24 billion euros ($34.11 billion) to withstand further economic shocks.
Irish Finance Minister Michael Noonan also unveiled plans to restructure the country’s once mighty banking sector into just two lenders made up of Bank of Ireland and a combination of Allied Irish Banks and EBS.
The total capital figure was broadly in line with expectations, but analysts feared it could rise further given the European Central Bank did not reveal plans for a medium-term funding facility for the Irish banks, as had been expected.
Europe’s debt crisis has spread into its banks, which are being forced by rating agency downgrades into the arms of the European Central Bank — lender of last resort — as credit markets shut their doors to them.
The ECB had been expected to announce a new medium-term
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