Makhlouf: Banks’ exit could signal ‘rightsizing’ of retail banking market

The Central Bank governor awaits review of sector but sees no signs the market is too small following departure of KBC and Ulster Bank

Despite the pending departure of KBC and Ulster Bank, Gabriel Makhlouf, governor of the Central Bank has said ‘there’s no evidence right now that businesses don’t have access to credit.’

The departure of Ulster Bank and KBC Bank Ireland could represent the “rightsizing” of the Irish retail banking market, the governor of the Central Bank of Ireland (CBI) has said.

Both lenders last year announced their intention to withdraw from the Irish market over the coming years, leaving hundreds of thousands of customers in need of a new bank.

The imminent withdrawal of the banks raised concerns about the scale of the banking sector in ...