Oireachtas Joint and Select Committees

Thursday, 13 November 2014

Joint Oireachtas Committee on Finance, Public Expenditure and Reform

Overview of Banking Sector: AIB

12:00 pm

Photo of Pearse DohertyPearse Doherty (Donegal South West, Sinn Fein) | Oireachtas source

I welcome AIB to the meeting and acknowledge that the bank has reduced its interest rates by 24 basis points. However, this is still less than the reduction in the cost of funding, which AIB's document mentioned was 30 basis points. I hope that AIB will continue reducing its variable rates for mortgage holders.

Under the restructuring plan that has been approved for AIB, the bank will pay the State its capital surplus on 31 December 2016. Does the bank intend to pay any capital surplus prior to that date?

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