Under the rules of the examination, banks are required to have a tier one capital ratio of at least six per cent by 2011.
According to an insider, Bank of Ireland's raising of â¬2.7 billion ($3.7 billion) last month has allowed it to meet the required threshold.
A further source told Bloomberg that Allied Irish will also pass the examination as regulators have taken into account the â¬7.4 billion it intends to raise by the end of the year.
The lender is planning to sell off various overseas assets, such as its stake in US-based M&T Bank.
Earlier this week, the International Monetary Fund called on the EU to make its stress testing procedures more transparent, claiming that a lack of full disclosure could mean concerns about the strength of banks may not be completely dispelled.
"Some uncertainty regarding the stringency of the tests is likely to remain," it warned.
By Claire Archer