Written answers
Tuesday, 22 September 2009
Department of Finance
Financial Institutions Support Scheme
9:00 pm
Joan Burton (Dublin West, Labour)
Link to this: Individually | In context
Question 119: To ask the Minister for Finance the capital adequacy ratios of each of the credit institutions covered by the bank guarantee scheme; his views on the level of tier one capital appropriate for commercial banks operating here, above and beyond the regulatory minima; and if he will make a statement on the matter. [32376/09]
Brian Lenihan Jnr (Dublin West, Fianna Fail)
Link to this: Individually | In context
I assume that the Deputy's question refers to the regulatory capital ratios for the covered institutions.
As the Deputy will be aware, the total capital ratios and core tier one ratios for the covered institutions are set out in the NAMA Supplementary Documentation provided to the House last week.
The following table sets out the latest published total capital ratio and tier one ratio for each of the covered institutions.
| Institution | Core Tier 1 ratio | Total capital ratio | Date |
| AIB | 8.5% | 10.7% | 30 June 2009 |
| Bank of Ireland | 9.5% | 15.2% | 31 March 2009 |
| Anglo Irish Bank | 1.4% | 8.2% | 31 March 2009 |
| Irish Life and Permanent | 9.2% | 9.3% | 30 June 2009 |
| Irish Nationwide Building Society | 9.4% | 11.6% | 31 July 2009 |
| EBS | 7.7% | 10.6% | 30 June 2009 |
The figures for Anglo Irish Bank do not include the impact of capital injected into the Bank by the State or the impact of the repurchase of certain debt instruments, both of which have a substantial impact on both the Core Tier 1 and total capital ratios of Anglo Irish Bank.
I have been advised by the Financial Regulator that the regulatory solvency total capital ratio is 8% and the Core Tier 1 ratio is 4%.
Joan Burton (Dublin West, Labour)
Link to this: Individually | In context
Question 120: To ask the Minister for Finance the net loan to deposit ratios of each of the credit institutions covered by the bank guarantee scheme; his views on the loan to deposit ratios appropriate for commercial banks operating here; and if he will make a statement on the matter. [32377/09]
Brian Lenihan Jnr (Dublin West, Fianna Fail)
Link to this: Individually | In context
I am assuming that the Deputy is referring to the total loans and advances to customers and customer's accounts in each of the institutions. As set out in the NAMA Supplementary Documentation provided to the House last week, the net loan to deposit ratios for each of the credit institutions are as follows:
| Institution | Net loan to deposit ratio | Date |
| AIB | 156% | 30 June 2009 |
| Bank of Ireland | 161% | 31 March 2009 |
| Anglo Irish Bank | 195% | 31 March 2009 |
| Irish Life and Permanent | 308% | 30 June 2009 |
| Irish Nationwide Building Society | 154% | 31 December 2008 |
| EBS | 164% | 30 June 2009 |
Section 39 of the Covered Institutions (Financial Support) Scheme states that a covered institution shall comply with any targets on assets and liabilities to be set by the Regulatory Authority after consultation with the Minister. These targets may include, but are not limited to loan/deposit ratio.
The Financial Regulator has advised me that it has not specified a particular Loan to Deposit Ratio for commercial banks operating here.
No comments