DUBLIN, Ireland (AP) -- Ireland issued a sweeping guarantee Tuesday to all deposits in the country's banks in a bid to stop an unprecedented stock market run against the Irish financial sector.

Finance Minister Brian Lenihan said all deposits in Ireland's six locally registered banks would be guaranteed by the taxpayer in the event that any failed. The banks are Allied Irish Banks, Bank of Ireland, Anglo-Irish Bank Corp., Irish Life and Permanent, Irish Nationwide Building Society and the Educational Building Society.

The step raised a week-old government promise to insure the first euro100,000 (US$145,000) in deposits. It followed Monday's record-setting 12.7 percent drop in the Irish Stock Exchange -- and rumors that millionaire depositors were withdrawing funds from Dublin-based banks because the government protection was inadequate.

Tuesday's guarantee also applies to all of a bank's own loans and debts, so if the bank cannot pay its creditors, the taxpayer would cover the bill.

"This very important initiative by the government is designed to safeguard the Irish financial system and to remedy a serious disturbance in the economy caused by the recent turmoil in the international financial markets," Lenihan said.