AIB has returned to profitability in the last six months.
The bank made a profit of 437 million euro in the first half of the year.
That compares to a loss of nearly 840 million at the half year point last year.
The improvement is down to higher income, a cost-cutting, and a big reduction in its provisions for loan losses, which fell nearly 90 percent to 92 million euro.
The bank said there has been a decline in the number of home owners in mortgage years over the last six months.
AIB says it's approved 5.6 billion euro of new loans so far this year.
Chief Executive David Duffy this morning rejected any suggestion that another property bubble is developing in the Irish market, despite rapidly rising prices in some areas:
