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S&P's AIB decision must wait for NAMA

AIB ratings - Still on 'creditwatch'
AIB ratings - Still on 'creditwatch'

Credit rating agency Standard & Poor's has said it will wait for more details on the National Asset Management Agency before making a decision on its ratings for AIB.

In May, S&P put AIB on 'creditwatch', meaning it is considering changing its rating from the current A level.

Today, it said that while the recent publication of draft NAMA legislation had provided some detail, some important questions remained, 'especially regarding the strength of participating banks' financial positions after the loans have been transferred to NAMA'.

It said it understood the Government would provide an indication of the price to be paid to banks for their assets when the legislation was debated in the Dáil in September.

S&P said that, at that time, the implications of NAMA for AIB's financial position may become clearer. It said it expected to make a decision 'within the coming three months'.