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Banks 'clean' by 2013, pledges NTMA chief

IRELAND will have one of the cleanest banking systems in Europe by 2013, the chief executive of the National Treasury Management Agency (NTMA) has pledged.

John Corrigan (right) said the stress tests were "rigorous, independent and transparent" and quantified the hole in the balance sheets of AIB, Bank of Ireland, Irish Life & Permanent and EBS.

"The initial market reaction to the stress tests and the recapitalisation has been positive," he said, adding that when the €24bn in increased capital is provided as envisaged under the PCAR/PLAR tests, the two pillar banking institutions, AIB and Bank of Ireland, will be well capitalised -- if not over capitalised.