Bank of Ireland Chairman Pat Molloy has said €2.1bn has been drawn down by small and medium sized businesses in the first nine months of the year.
Mr Molloy, who addressed the Joint Oireachtas Committee on Finance and the Public Service, said his bank is committed to supporting SMEs who are experiencing cash flow problems.
Bank of Ireland also said it will not require any more State aid, according to a five-year business plan it submitted to authorities in Europe.
It says liquidity provided by the National Asset Management Agency will have a positive impact on the bank's ability to lend, therefore supporting the economy.
However, the Fine Gael Finance Spokesman Richard Bruton said suggestions that every business who needs credit is getting it are 'not credible'.
He said an honest exchange was needed and criticised the actions of banks in recent times.
Mr Bruton said there is intense fury among the public about how the banks have behaved and that there was no sense of radical change in the banking system.
Mr Molloy said he acknowledges the depth of public feeling against banks and said trust between customers and banks will be restored.
The BOI officials who were before the Committee also said they looked favourably on NAMA, but it was the decision of shareholders whether to participate in it.
The chairman of AIB has said credibility of the bank has been damaged by recent events.
Addressing the Committee, Chairman Dan O'Connor said the bank has been shaken and is determined to restore its reputation.
Mr O'Connor also said his role as executive chairman will only be a for a specified timeframe.
Mr Bruton said the bank had 'handicapped' itself by appointed an internal candidate as managing director.
Mr O'Connor said that the process of hiring an chief risk officer and a chief financial officer from outside is under way.
Later, AIB Chief Executive Eugene Sheehy said that the day after NAMA was enacted, there would be no perceptible difference at AIB branches in terms of lending to customers.
He later clarified that NAMA has already improved the situation for Irish banks, and that it will have enormous benefits.
Asked what the bank will do with the bonds it was receiving from NAMA, Mr Sheehy said AIB would use the bonds to improve its overall funding position.
'We could fund our balance sheet today,' he said. 'But the assets that are there today are troublesome, while NAMa's bonds are liquid.'
Earlier Mr Sheehy told the committee that competition was 'intense' and 'uneconomic' in the deposit market. The bank provides of 40% of lending to the Irish SME sector.
