Lender reiterates it sees full-year net interest income coming to more than €3.65 billion, down from last year’s €3.84 billion as ECB rates seen fallingAIB’s share of new mortgage lending crept higher in the first few months of this year, leaving the top two banks in the country with a combined mortgage market share of more than 75 per cent.
Earlier this week, Bank of Ireland reported that its slice of new mortgage lending was 40 per cent for the first two months of the year. While it had dipped from 41 per cent last year, it remained well ahead of the 28 per cent share it recorded for 2022, as the domestic banks won back market share from nonbank lenders such as ICS Mortgages and Finance Ireland as their funding was squeezed amid rising market interest rates.
The bank reiterated that it sees its full-year net interest income coming to more than €3.65 billion, down from last year’s €3.84 billion. However, this assumes that the ECB will cut its deposit rate by 1.25 percentage points, at a time when financial markets are now just pricing roughly half that level in cuts.