A new survey claims that Irish banks are refusing almost half of the credit applications being made by small businesses.
The survey by the small business group, ISME, also indicates that 79% of firms found that banks were making it more difficult to get credit.
Those that were successful said they were being penalised with higher interest rates and charges.
Mark Fielding, the chief executive of ISME, said the bailed-out Irish banks had ignored Government instructions to get credit flowing again.
'The new government must take a much stronger position with bailed out bank management and insist on their compliance with instructions,' he added.
However, the Irish Banking Federation said it totally rejects the ISME statement which it claims is based on 'spurious research' and is 'highly misleading'.
'The independent, Government-appointed Credit Review Office shows that all viable businesses can and are obtaining credit. IBF strongly encourages businesses seeking credit to apply to their lender with a fully-supported application,' a statement said.
