Bank of Ireland and AIB have said they will not need any additional capital after a review of their loan books by the Central Bank.

For the last few weeks, the Central Bank has been examining whether the banks have set aside enough money to deal with bad loans.

AIB says the review found it doesn't need to raise any extra money - and Bank of Ireland says the same.

However, the Central Bank found BOI should set aside an extra €360 million to deal with losses on mortgage arrears.

That number has spooked the markets this morning and Bank of Ireland shares are down around 4% - as Newstalk's Business Editor Ian Guider explains: