Concerns about Ireland's solvency will not be eased by the results of last week's stress tests and the verdict of government bond markets will be anxiously awaited tomorrow, senior European bond analysts said.

The stress tests also revealed that some of Europe's biggest banks have reduced their holding or shunned buying Irish government bonds.

Rabobank, the owner of ACC Bank, cut its exposure to Irish bonds to €149m this month from €222m in March. UK lenders Barclays and Lloyds and Germany's Commerzbank have no Irish debt on their books, while Spain's Santander has just €16m worth of bonds.

French banks have among the largest exposure to Irish debt, with BNP Paribas holding €559m of bonds and Societe Generale €929m.

Royal Bank of Scotland, the owner of Ulster Bank, have €4.2bn of Irish debt on its books.

The scenarios assumed in the Committee of European Banking Supervisors (CEBS) tests included a 12.8% haircut on Irish government bonds and a 17% fall in both commercial and residential property prices this year.

Both Bank of Ireland and AIB passed the tests set by the CEBS that measured the strength of 91 banks across Europe to weather economic turbulence and the write down in the value of the European government bonds they hold. But failing only seven of the 91 European banks under the severest conditions will not reassure markets.

"The first impression is that the failure rate is very low – in line with all the leaks we had," said Luca Cazzulani, deputy head of government bonds at UniCredit in Milan. "I would say that the stress tests will unlikely dissipate all the doubts that investors had in recent weeks, especially about the peripheral eurozone countries, like Portugal and Ireland," he warned.

Sovereign debt markets last week continued to signal that Ireland and Portugal remained in deep danger. The 10-year debt of both countries this weekend was trading at 5.4%, compared with 4% for Italy and only 2.7% for Germany.

Karl Whelan, economic professor at UCD, said passing the stress tests were undoubtedly "a milestone" for Bank of Ireland and AIB but that they faced another challenge in the coming months.

"One of the risks facing all the Irish banks is the amount of refinancing they have to do over the coming months. If that goes badly then they will be seen to be in worse shape on the capital side," Whelan said.

Analysts say the state guarantee had led to the banks "bunching" the debt they need to refinance before the guarantee expires at the end of September.

In a reply to a Dáil question by Labour finance spokeswoman Joan Burton, it was revealed last month that the banks need to refinance €74bn by the end of September, including almost €57.8bn owing in senior bonds and €16.4bn in interbank debt.