Thursday 22 March 2018

AIB insurance scheme

Exporters who bank with AIB will be able to avail of a new credit insurance product launched by French multinational Euler Hermes.

The product, called 'Simplicity', will provide a minimum of 60pc cover against bad debts.

It's available because AIB has signed a partnership with the French company.

AIB's retail and business banking director Bernard Byrne said the product would "enable AIB to provide additional working capital and other trade finance product support to our customers expanding into new markets".

Bankers' talent fears

City of London bankers fear stringent new personal liability rules will deter talented people from taking top roles, the 'Financial Times' has reported.

Last year the Bank of England revealed plans that could see top executives face jail if they make reckless decisions causing a bank to fail. In yesterday's 'Financial Times', Andrew Bailey, the head of the Bank of England's prudential regulator, wrote that some senior non-executive board members should be subject to the rules as well.

But Mr Bailey said the criminal sanctions would only be used in the most serious cases.

France-EU spat

Sanctions may be necessary against France if the EU and Paris fail to agree on whether the country's deficit-cutting and reform efforts are sufficient, EU Economics Commissioner and former French finance minister Pierre Moscovici, inset, said yesterday.

The European Commission is due to say this week whether it considers that France's efforts to reform its economy and bring its public finances in order are sufficient.

"I hope we are going to reach a good deal, a good deal is always better than bad sanctions," Mr Moscovici said. "But sanctions may be necessary if there is no deal."

UK sells 1pc of Lloyds

The UK Treasury has raised £500m (€677m) through the sale of a further 1pc stake in Lloyds Banking Group, cutting its holding to below 24pc.

The UK pumped £20bn (€27bn) into the bank during the financial crisis, leaving it with a 41pc stake.

"This is further progress in returning Lloyds Banking Group to private ownership, reducing our national debt and getting taxpayers' money back," Chancellor George Osborne said yesterday.

Irish Independent

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