Stephen Donnelly (Wicklow, Independent)
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90. To ask the Minister for Finance based on the latest Fitch report citing the possible need for further recapitalisation of Irish banks, if he maintains his position, as outlined recently to the Joint Committee on Finance and Public Expenditure, that the Irish banks will not need further recapitalisation; and if he will make a statement on the matter. [28848/13]

Michael Noonan (Limerick City, Fine Gael)
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The timing of Ireland's next stress test is under discussion and no decision has been taken in this regard. The original timeline under the Troika programme, which was linked to the EU wide EBA stress test timeline, is being adapted in light of the evolving calendar for the next EU-wide bank diagnostic exercises in the lead-up to the Single Supervisory Mechanism (SSM).

The intention is to ensure that appropriate preparations are made early so that the Irish banks are in the strongest possible position when the ECB fully assumes its supervisory role under the SSM. This is presently expected around mid-2014.

Consequently, the Irish authorities, in consultation with the troika, will this year conduct a series of diagnostics to provide greater clarity regarding the underlying quality of banks' balance sheets. A key element will be a comprehensive Balance Sheet Assessment to be finalised by end-November 2013.

The various preparatory supervisory steps that the authorities are undertaking will ensure that a stress test of the Irish banking sector will be conducted ahead of, but in close proximity to, the EU-wide exercise in 2014 .

Speculating on the results of these tests is not very useful as the outcome of the tests will depend on the results of a comprehensive exercise, the parameters of which have yet to be agreed. However, as I stated at the Joint Committee on Finance Public Expenditure and Reform on 8th May 2013, at the current time, I have no evidence that the banks need more capital and they are very well capitalised.