Bank of Ireland will redeem €1.3 billion of preference shares on January 4, 2016, it said on Monday, the final step allowing it to resume dividend payments.

The lender has led a sector-wide revival as the Irish economy grows faster than any other in Europe and is set to be the first bank in the country to resume dividend payments since the 2008 financial crisis.

However, it has to first stop counting the preference shares as capital and, after generating fresh capital throughout this year, it said it had gained consent from European regulators to redeem the shares.

Reuters