The European Banking Authority says more work is needed in order to shore up Irish banks.

It has ranked lenders AIB and Bank of Ireland among the bottom of 51 banks in its latest "stress test".

The report assesses whether financial institutions have enough resources to deal with another major economic crash.

It is aimed at boosting the flow of credit to Europe's economy.

Owen Callan of Cantor Fitzgerald says the findings need to be taken in context: