AIB has deleveraged €20.5 billion worth of non-core loans ahead of a deadline set by the Central Bank, according to the bank.
The bank was required to undertake a deleveraging of non-core loans by the end of the year as part of the Central Bank's Prudential Liquidity Adequacy Review.
AIB said it had now completed this plan ahead of schedule and with a "positive capital variance" when compared to the assumptions made under the regulator's Financial Measures Programme.
It said the deleveraging, along with a growth in customer accounts, had seen its loan-to-deposit ratio fall from 165% three years ago to 106%.
This is well below the threshold of 122.5% that the bank was required to achieve under the Central Bank's 2011 PLAR.