Irish banks' borrowings from ECB up 13.7%

Thursday 30 December 2010 18.35
Central Bank - Irish banks' borrowings rise again last month
Central Bank - Irish banks' borrowings rise again last month

New figures from the Central Bank today show that Irish banks' borrowings from the European Central Bank rose significantly last month, increasing by €11.7 billion. This brings the total borrowed to €97.3 billion.

The ECB lent all the banks in Ireland, including foreign lenders, €138.2 billion in November.

The Central Bank also said today that deposits from the Irish resident private sector were 6.7% lower on a year-to-year basis in November.

There was a negative monthly flow of private sector deposits during November worth a total of €5.2 billion. This brought the three-month average net outflow to €2.1 billion. This compares with an average net monthly outflow of €677m in the three months to the end of October.

AIB said last month that it had lost €13 billion in deposits since the end of June. Bank of Ireland shed €10 billion of deposits in the third quarter while Irish Life & Permanent said it had suffered a €600m outflow in the same period.

Today's Central Bank figures also showed that lending to households and businesses fell again in November.

Loans to households last month fell at an annual rate of 4.8% after a fall of 4.9% in October. Lending for mortgages fell by 1.7% on a yearly basis.