Central Bank given new power as risks rise
A ‘Systemic Risk Buffer’ will give the regulator the ability to require banks to hold extra capital to protect themselves against potential risks to the financial system
A review of financial stability by the Central Bank has found that the risks for Ireland have increased slightly over the past six months.
It says that although Irish banks and households are now better able to deal with any future economic shock, vulnerabilities remain.
The Central Bank says that the main risks facing the Irish financial system are likely to come from outside the country, warning thatthese are particularly high at the moment. This is due to the risk of a disorderly Brexit, the slowdown in world economic growth and uncertainty about global trade conditions.
