The European Central Bank's financing to Portuguese lenders rose for a second month in December, the Bank of Portugal has said.

ECB financing increased to €46.0 billion from €45.69 billion in November, the Lisbon-based central bank said today on its website.

ECB financing levels peaked at €49.1 billion in August 2010.

Portugal in April became the third euro-area country to seek a bailout after Greece and Ireland, and will receive €78 billion under the agreement with the International Monetary Fund and the European Union.

The aid plan earmarks €12 billion for Portugal's lenders if needed.

As part of the aid plan, Portugal's lenders were required to raise Core Tier 1 capital ratios to 9 per cent by the end of 2011 and 10 per cent by the end of 2012.

According to European Banking Authority rules, they also need a 9 per cent capital ratio by the end of June after marking their sovereign debt holdings to market prices.

The Portuguese central bank said on December 8th that the country's lenders needed to raise €6.95 billion in capital to meet the EBA target, which was calculated using figures from the end of September.

Since then, Portuguese banks have carried out capital increases to reduce their shortfalls.

Bloomberg