Central Bank of Ireland Strategic Plan Eng
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Transcript of Central Bank of Ireland Strategic Plan Eng
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Central Bankof IrelandStrategic Plan
2010 - 2012
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Eecutie Summar 2
Itrouctio 4
Part A Eirometal Cotet a Ke Challeges 5
Part B High Leel Goals 3
Appei Orgaisatio Chart 3
TABLE O COnTEnTS
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2
Whats new?
Recued pprch regheig he fcil em
n Itegrate micro-macro approach to assessig sstemic acial stabilit a heaig o emergig issues
n Esure that baks meet creible ew capital requiremets (takig ull accout o epecte losses a tough stress
sceario) eablig them to recoer market coece a the capacit to u themseles
n Maage trasitio rom curret goermet guaratee
n Implemetatio o a ew approach to bakig superisio
Deelpig e regulr mdel: Ehced uperir cpci r deeci d crreci
prblem
n Actie, ope a challegig superisor egagemet with rms to esure that risks are ull uerstoo a
sucietl mitigate
n Pro-actie assessmet o total busiess risk, ot just cotrols a rules
n Regulator approach will target icrease superisor resources a impose requiremets i a wa that is
proportioate to risk
n A shit i the approach towar presumptio o more igorous eorcemet backe b suciet resources to
represet a creible threat o actio
Iercig ih e EU uperir bdie d implemeig e regulr direcie
n Wholehearte egagemet with Europea Sstemic Risk Boar a Europea Sstem o iacial Superisors
n Traspositio/applicatio o eolig iteratioal reorms i regulatio icluig ew EU irecties or bakig,
isurace a us iustr
Buildig cumer preci
n Reiew Cosumer Protectio Coe a Miimum Competec Requiremets
n Make chages to the Mortgage Arrears Coe a uertake work o cosumer iebteess
n Esure backlog o oerchargig cases are resole quickl
Ecmic li
n Greater attetio i ecoomic research o uctioig o the acial sstem (icluig creit, iebteess)
n uller collaboratie egagemet with ecoomists i uiersities, ESRI a wier public serice
Pme d Currec
n Pla a strog role i the eelopmet o a natioal Pamets Strateg
n Implemet Target 2 Securities a other Eurosstem iitiaties i pamets a settlemets area
n Improe currec serices, particularl through Bakote Recclig ramework
C recern Moe towars 00% charge-back arragemet (to reuce cost to tapaer)
ExECUTIvE SUMMARy
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3
High Leel Goals o the Cetral Bak o Irela
Outlie below are our high leel goals a the actios we will be takig to achiee them.
1. Cribue Eurem eeciee d price bili
We are resposible or maitaiig price stabilit through moetar polic ormulatio at ECB leel. We aim to
ehace the eectieess o our participatio i moetar polic ormulatio through the proisio o qualit brieg
or the Goeror o Goerig Coucil issues, while recogisig that the Goeror is solel resposible as a member
o the Goerig Coucil. We are also resposible or the eectie implemetatio o moetar polic.
2. Cribue fcil bili
We hae a legal maate, i both omestic legislatio a uer the Maastricht treat, to cotribute to acial
stabilit both i Irela a across the euro area. A ke ocus i the perio ahea is to pla our part i the resolutio
o the acial crisis. This iclues moitorig oerall liquiit or the bakig sstem.
3. Eure prper d eecie reguli fcil iiui d mre
The objectie is to miimise the risk o ailure b esurig compliace with pruetial a other requiremets.
Howeer, a ew approach to superisio is eee, ocusig o a risk base approach supporte b ope a
challegig ialogue with rms b assertie sta, uerpie b a creible threat o eorcemet. The purpose o
securities market regulatio is to promote a eciet a air securities market.
4. Eure h he be iere cumer fcil erice re preced
The objectie is to protect customers a iestors through couct o busiess rules a other measures.
5. Pride idepede ecmic dice d high quli fcil iic
We also cotribute to ecoomic eelopmet b uertakig ecoomic aalsis a research esige to iorm
ecoomic polic makig across a rage o areas. A ke priorit is to proie authoritatie ecoomic aice to
Goermet b esurig that such aice is releat a timel. The proisio o high-qualit a timel statistical
iormatio is essetial or this a also to proie a soli basis or ecisios.
6. Eure efcie fcil erice irrucure he ecm: pme d currec
Our oersight o pamet sstems role is aime pricipall at esurig that pamet a securities settlemet
sstems are sae, eectie a eciet a that access to such sstems is ot restricte. We will pla a strog role
i the eelopmet o a natioal Pamets Strateg. With regar to our currec serices, we mauacture, issue,
store, process a autheticate bak otes a cois.
7. Mximie ur peril efciec d c eeciee
We will esure that the orgaisatio has the capabilit to elier the ke challeges set out i this Pla a that our
operatios are carrie out i a eectie a eciet maer.
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4
This Strategic Pla has bee prepare agaist the
backgrou o ew legislatio, epecte to be eacte
b quarter 3 200, to create a sigle uitar orgaisatio
the Cetral Bak o Irela with resposibilit or both
cetral bakig a acial regulatio. The ew structure
will replace the curret goerace structure o the Cetral
Bak a iacial Serices Authorit o Irela. The
Cetral Bak will be resposible or both the superisio
o iiiual rms a the stabilit o the acial sstem
geerall. The purpose o the ew orgaisatio a thepropose statutor objecties are:
As a member o the Europea Sstem o Cetral
Baks (ESCB), the pricipal objectie o the Bak
is to maitai price stabilit. I aitio the Cetral
Bak Reorm Bill, 200 states that the Bak also has
the ollowig objecties:
n The stabilit o the acial sstem oerall
n The proper a eectie regulatio o acial
istitutios a markets, while esurig that the
best iterests o cosumers o acial serices
are protecte
n The eciet a eectie operatio o
pamet a settlemet sstems
n The proisio o aalsis a commet to
support atioal ecoomic polic eelopmet
n The ischarge o such other uctios a
powers as are coerre o it b law
The chages to the regulator structure are beig brought
about to help aress eciecies i the regulator sstemthat became apparet urig the acial crisis. There are
parallels with the ew arragemets propose at EU leel
esige to esure greater cohesio betwee oerall
acial stabilit polic a the pruetial superisio o
iiiual istitutios. The reorms will be supporte b a
sigicat epasio o regulator capacit withi the ew
Cetral Bak. Substatial aitioal sta with the skills,
eperiece a market-base epertise eee to meet
the objecties o the ew structures are beig recruite.
This Strategic Pla is or the three ear perio 200 to
202. The resolutio o the bakig crisis is the major
task to be complete oer the lietime o this pla. This
will be achiee through implemetatio o a ew moel
o regulatio a a ehace assessmet o acial
stabilit. There are 2 mai parts to the ocumet:
n Part A escribes the eirometal cotet i
which this pla has bee prepare a outlies the
sigicat challeges we ace as a orgaisation Part B articulates our high leel goals, the
associate actios we will take a eals with
implemetatio a orgaisatioal issues
The ke to implemetig our strateg is the eicate
work a commitmet o our sta who hae alrea mae
a sigicat cotributio i aressig the challeges we
ace. The iolemet o the sta i helpig ree a
ehace the orgaisatios strategic approach oer the et
three ears will be ke to its success. I eepl appreciate their cotributio oer the past ears, which has bee a
time o eceptioal icult a challege. I look orwar
to workig with them to oercome the challeges a to
help restore the acial sstem to ull health.
Pric HhGoeror
InTROdUCTIOn
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The impact o the bakig crisis o the ecoom
omiates the eiromet i which the Cetral
Bak ow operates. The relui he
crii puttig the bakig sstem back o a soli
ootig, a thereb helpig to stregthe the
ecoom is the major challege a task to be
aresse oer the lietime o this strategic pla.
This task requires the eelopmet aimplemetatio o a e mdel reguli,
a assertie risk-base moel, uerpie b
a creible threat o eorcemet. This ees to
be couple with a ehace assessmet o
fcil bili, with a broaer a eeper
leel o aalsis. It also requires the careul ogoig
mgeme liquidi uppr to the mai
omestic baks. The Cetral Bak is committe
to these objecties as part o its oerall ocus ohelpig to esure that the bakig a acial
serices sectors are put o a sou ootig i orer
to allow them to sere the broaer ees o the
ecoom.
The epth o the curret bakig crisis is i large part
attributable to home grow actors. yet it occurre
agaist a backgrou o iteratioal eelopmets
which acilitate the creatio o ulerabilities a
the sharpl epose them. Iteratioal acial
market pressures cotribute to the impact o
Irela. Importat iitiaties are beig take at
the EU a iteratioal leels to help resole the
crisis a to set ew, more robust, staars. This
iclues the establishmet o sigicat ew EU
boies to stregthe the assessmet a mitigatio
o macro a micro pruetial risks, oe o the ke
recommeatios o the de Larosire report. I its
ieril eggeme the Cetral Bak
will be require to ull pla its part i cotributig
to the eelopmet a implemetatio o these
iitiaties.
These ew challeges are couple with a
requiremet or the orgaisatio to esure that
it cotiues to perorm its other ogoig majoructios. irst amog these is the requiremet
to cotribute to price bili. I Irela,
this is achiee through our membership o
the Eurosstem a through the Goerors
participatio i the Goerig Coucil o the ECB.
It is also o ke importace that the Bak cotiues
to esure that the acial serices irastructure
i the els o pme, ecuriie d
ch eliers the ecessar eciecies to theecoom.
While arious measures hae esure that a soli
start has bee mae i reersig the broaer
ecoomic owtur i Irela, major challeges
remai. The Cetral Baks role i proiig
authoritatie dice Germe a to the
other major stakeholers i the ecoom is more
releat a ecessar tha eer.
Much work has bee achiee i the area o
cumer preci i recet ears. This has
helpe cosumers through the proisio o better
iormatio a the itrouctio o the Cosumer
Protectio Coe coerig such issues as sales
processes, isclosure a air treatmet.
PART A EnvIROnMEnTAL COnTExTAnd KEy CHALLEnGES
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Resolig the Bakig Crisis
The ailures o the Irish bakig system, allie with the
ramatic eclie i ecoomic output a icrease i
uemploymet, hae ha a seere eect o the ecoomy
a the public aces, with the impact elt across all o
society.
The seere shortage o liquiity a the solecy problems
reeale i the crisis ha a sigicat impact o the operatios
o baks. The ee or exceptioal steps to cotai the
crisis through irect acial sector iteretios, as well
as moetary a scal policy resposes was recogise i
all o the coutries with weakee baks. Recapitalisatios,
eposit guaratee extesios, the proisio o creit a
liquiity, a programmes to eal with istresse assets
were all uertake to support acial istitutios, while
cetral baks cut iterest rates to historically low leels a
itrouce a rage o o-coetioal moetary policy
measures. I Irela, ollowig the itrouctio o a
extesie guaratee o bak liabilities by the Goermet
i September 2008, key measures hae iclue:
n Measures to esure aequate recapitalisatio o the
baks, icluig through the proisio o aitioal
resources by Goermet, iolig the acquisitio
by Goermet (through the natioal Pesio
Resere u) o equity stakes i the mai baks
n Establishmet o the natioal Asset Maagemet
Agecy to buy property relate loas rom the baks
at a price relate to market alue
n Itrouctio o a Coe o Couct o Mortgage
Arrears a Busiess Leig to Small a MeiumEterprises
n Establishmet o a Iquiry ito the causes o the
acial crisis
The Cetral Bak has a key role to play i resolig the
bakig crisis. The objectie is to restructure a recapitalise
the bakig system, so that the baks emerge as sel reliat
etities without a excessie cost to the taxpayer a with
the ability a motiatio to proie acial serices to
the ecoomy.
We will ee to sharpe our assessmet o acial
stability. This will iole a umber o actios icluigimproig our aalysis o eelopmets i the acial
markets as a whole. We will cotiue to eelop iicators
a aalysis o acial system stress a icrease the use
o stress testig to assess the impact o ay eterioratio i
the macro ecoomy o the health o acial istitutios.
To esure that the risks ietie i our iacial Stability
Reports are aresse, we ee to eelop more eectie
macro pruetial istrumets. A complete reiew o the
stress testig methoologies will also be uertake. A
ew approach to commuicatig the key messages o our
acial stability work is eisage.
A key task i assessig the baks restructurig proposals
is to esure that they meet our pruetial a acial
stability objecties a that sustaiable busiess moels
are beig propose. We will also proie aalysis a
assist i the EU approal process or the restructurig o
the bakig sector. We hae set ew capital requiremets
a it is our target that most baks will be i compliace
by the e o 200. Oe o the key actios to be take is
to graually reuce the ee or reliace o our omestic
baks o cetral bakig liquiity proie through the
Eurosystem. This is particularly importat as Eurosystem
moetary policy operatios are likely to reert oer time
to more ormal leels as coitios geerally stabilise.
It will also be ital to esure that the collateral proie
or such operatios cotiues to meet all the ecessary
requiremets.
We also ee to maage the trasitio rom the curret
Goermet guaratee. All coere creit istitutios hae
bee requeste to reiew their cotigecy liquiity auig plas to esure prepareess or the trasitio to
ay ew guaratee structure that may be put i place a
ultimately, to operate i the absece o ay Goermet
guaratee. We will cotiue to ocus o the ee or
coere creit istitutios to pla a maage their exit
rom such support schemes i a orerly maer. We
beliee that the achieemet o a balace uig prole
or all creit istitutios is a ital compoet o a stable
bakig system.
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BankInG sUPERvIsIon: oUR nEw aPPRoaCH
We hae recetl publishe our ew approach to Bakig Superisio, the mai elemets o which are that:
n We are chagig the structure or bakig superisio
Restructure the orgaisatio to elier more itrusie a challegig superisio, recruit aitioal sta a
establish a Risk Eperts Pael
n We are chagig our superisor culture a approach
Complete pruetial capital aequac reiew
Stregthe superisor reiew a ealuatio process
Implemet a iteriew a assessmet process or seior appoitmets i baks a ete to other
istitutios
Implemet a ew risk assessmet moel
Reise approach to halig oerchargig issues
Reiew process a methoolog or assessig cosumer charges
Pruetial superisio themes or 200 are ew mortgage creit staars; remueratio; risk maagemet
a goerace; a bak strategies
n We are broaeig our approach to acial stabilit
Uertake assessmet o ata ees or reiews o acial stabilit
deelop a ehace acial stabilit sstemic risk assessmet ramework a a associate
commuicatios strateg
Couct i-epth comparatie aalsis o the perormace o the Irish bakig Sector to iorm iscussios
o the uture structure o bakig i Irela
Implemet urther eelopmet o baks specic quatitatie risk assessmet moels
Uertake etaile micro leel aalsis o importat couterparts o the acial sector: o-acial
corporatios a househols
Publish the iacial Stabilit Report i a ew ormat
n We are ehacig the Regulator ramework
Cosult o a implemet ew corporate goerace requiremets or baks a isurers; regulatios
o relate part leig; a reise ramework or esurig that the maagers a irectors o regulate
istitutios are t a proper; iteral goerace requiremets a remueratio staars or acial
istitutios; ew rules o large eposures; ew staars o creit risk maagemet, aluatio a liquiit;
reise miimum competec requiremets, cosumer protectio coe a possibl o the coe o coucto mortgage arrears; statutor switchig coe
Cosult o a implemet the Comptroller a Auitor Geerals recommeatio o auitor attestatio
regarig the uctioig o the iteral corporate goerace regime i istitutios
n Issues requirig urther research
Reiew structure o omestic saigs iustr, i collaboratio with other releat agecies
Issue iscussio paper o a cetral creit register
deelop proposals i cojuctio with dept o iace o a special resolutio regime
Research the easibilit a esirabilit o imposig preetermie staar sectoral cocetratio limits o
sstemicall importat creit istitutios
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deelopig a new
Regulator Moel
We ee to oerhaul our superisor approach to take
accout o the lessos leare rom this acial crisis. We
ee to aress the obious weakesses that hae cause
problems here a also keep pace with the reorms that
are beig itrouce elsewhere as lessos are beig leart
worlwie rom the acial crisis.
no regulator sstem ca guaratee a zero ailure
outcome. Howeer, a sstem base o cocetratig
eorts a resources where the greatest risks lie, miimises
the risk o ailure. It is our itetio to implemet a
ramework o assertie risk-base regulatio uerpie
b the creible threat o eorcemet. Our emphasis will
be o:
n Risk mitigatio a challege
n Assessmet o busiess risk, ot just cotrols a
rulesn Usig the risk moel to sstematicall assess rms
a set the superisor agea
A eicate iisio with special iestigatie uits is
beig establishe to eal with eorcemet matters. A
oerall assessmet o risks will orm the basis o makig
ecisios o resourcig the superisor uctio a the
require leel o egagemet with the acial serice
proier or sector. It will be importat to be balace
a proportioate epeig o the risk o the rm or
sector. This will help esure that superisor itesit
will be proportioate to the risks pose. or eample,
sstemicall importat istitutios ca epect a higher
leel o superisor egagemet a scruti.
While ma o the require chages i regulatio are i
lie with those occurrig at Europea leel, there is also
a ee to make specic improemets to the omestic
regulator ramework i a umber o areas. I this regar,
we are epectig ew statutor powers to esure that
those resposible or maagig acial serice proiers
cotiue to be t a proper to o so. Other challeges
iclue the settig a moitorig o staars ocorporate goerace so as to esure that goo practice
is ollowe i relatio to issues such as boar compositio,
remueratio, accoutabilit a auit.
This will require the ecessar resources to esure that the
regulator sstem here ca elier o its maate, meet
these ew challeges a keep pace with eolig best
practice iteratioall. A sigicat icrease i rot lie
regulator sta is require. This is ke to esurig that
the appropriate leel o scruti is applie to the mostsstemicall importat rms a those that are attractig
the higher leels o risk. There will also be greater emphasis
o eamiig the tess a probit o those eterig, or
moig withi, the iustr at a seior leel. A greater
emphasis o risk aalsis a polic eelopmet also
requires suciet resourcig.
The ew eorcemet iisio will be resource at a leel
suciet to appl a creible threat o actio where that is
ecessar a to hae the releat iestigatie epertiseaailable. The etire approach to eorcemet, icluig
the curret Amiistratie Sactios Proceures, will be
reiewe at a earl stage a we thereore pla to cosult
o our eorcemet strateg later this ear.
Europea a Iteratioaldeelopmets
As a member o the Eurosstem, we hae a resposibilit
to promote price stabilit withi the euro area. This role is
uertake through participatio o the Goeror i the
ECB Goerig Coucil where ecisios o iterest rates
are take. Thereore we ee to assist the Goerors
participatio i ESCB ora b proiig qualit aalsis,
research a brieg.
The EU has embarke o a programme o reorm that
relates to both the structures a legislatie ramework or
acial stabilit a superisio.
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Sigicat ew EU boies are beig establishe. The
Europea Sstemic Risk Boar will both assess a seek tomitigate risks to acial stabilit properl a switl while
the Europea Sstem o iacial Superisors will help
eelop ew superisor staars a urther ehace
superisor cooperatio across the EU.
new directies to stregthe acial superisio are
beig itrouce, primaril i the areas o capital, liquiit
a goerace. Iteratioal capital requiremets or
baks are beig reiewe a will be stregthee.
Legislatio has bee aopte or is uer cosieratio iareas such as:
n Stricter capital requiremets or baks a
iestmet rms
n A stregthee EU ramework or eposit protectio
n Ehace regulatio o creit ratig agecies, hege
us a priate equit houses
n Reorm o remueratio practices i acial
istitutios
A ehace regulator regime or the isurace sector
kow as Solec II is i the process o beig eelope
a implemete. The us iustr will hae the
UCITS Iv directie eacte, which will acilitate cross
borer marketig o UCITS b simpliig amiistratie
proceures. EU legislatio esige to protect iiiual
cosumers is also plae or i the process o beig
implemete, i the areas o eposit guaratee, cosumer
creit a retail iestmet proucts.
Amog the ke challeges we ace i regar to this are:
n To cotribute to the eelopmet o polic i the
iterests o the EU a Eurosstem
n To esure that Irelas iterests are well represete
b makig a eectie cotributio as techical
aisor to the Goermet i egotiatig a
trasposig the irecties
n Establishig superisor sstems to implemet the
ew requiremets
n Commuicatig the ew requiremets to iustr
a other stakeholers
domestic Ecoomic Aice
The seere iteratioal recessio has amplie a
alrea upreceete cotractio i the omestic
ecoom sice 200. The pace o eclie i ecoomic
actiit has moerate sigicatl i the last ear a the
outlook is or a resumptio o moest growth urig 200,
although growth will ot be sucietl strog to allowuemplomet to all sigicatl or some time. The risks
acig the Irish ecoom remai sigicat, arisig rom
the cotiuig iteractio o egatie growth, acial
sector stress, a the state o public aces.
While a soli start has bee mae i reersig the
ecoomic owtur, the ecoom cotiues to ace
major ecoomic challeges oer the et ew ears.
We will assist Goermet b proiig timel aice
o how best to meet these challeges. Our role is to actas a iepeet a authoritatie commetator o
the ecoom a aisor to the Goermet o polic
iitiaties. We o this b uertakig ecoomic aalsis
a research o strategic themes a will commuicate
the results to as wie a auiece as possible.
We ee to esure that our ecoomic research programme
is targete so that our aice to Goermet is releat
a timel. or eample, we will proie research a
aice o policies/mechaisms or ehace aailabilito creit o a pruet basis a how istresse loas
shoul be maage. ormulatig ecoomic aice to
the Goermet o policies that woul eable baks to
epa leig to creit worth borrowers, while at the
same time esurig aequate capital a liquiit buers
to protect the stabilit o the acial sstem, is a particular
challege. A ew ata collectio sstem to itegrate ata
o SME leig withi the eistig statistical ramework
will be implemete, a the ee to ehace statistics i
other areas, such as collectig o-balace sheet eposureswill be eplore.
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Our ecoomic research priorities iclue macro
orecastig, ifatio a competitieess aalsis, publicaces, labour market, housig, a trae a balace
o pamets. or the uture, particular attetio will be
pai to the role o the acial sector i these a relate
els icluig a specic ocus o particular issues, such
as leig to the SME sector. The challege is to use our
strog ecoomist resources withi the Cetral Bak so that
the are leerage so as to erie the maimum beet
rom iteractig with other ecoomists i uiersities, the
Ecoomic a Social Research Istitute a the public
serice.
As the leaig proier o acial statistics, we will
cotiue to eelop this area a to collect aitioal
releat ata to eable the proisio o iorme aalsis
a commetar. We will also collaborate with the CSO
a other boies to esure that ata releat to polic
ormulatio is proie a that the bure o respoets
is miimise. We will also take steps to improe the rage
a releace o statistics publishe a the issemiatio
o these ata.
Pamets a Currec
We proie a rage o serices to the bakig sector
a the ecoom as a whole. I relatio to pamet a
securities settlemet sstems, our remit is to esure that
the are sae, eectie a eciet, a that access to
such sstems is ot restricte.
Compare to ma other EU coutries, we cotiue to hae
a sigicat epeec o cash a cheques. Cosumers
a busiesses i some other EU coutries hae moe to
ast a eciet electroic pamets sstems, the beets
o which iclue improe saet a securit, icrease
eciec a spee o pamet. The Sigle Euro Pamets
Area (SEPA) iitiatie is itroucig commo electroic
pamet istrumets (creit trasers a irect ebits)
that ca be use to make euro-eomiate pamets.
The SEPA project applies throughout the euro area (aalso to all other EU a EEA member states). We will pla
a strog role i the eelopmet o a natioal Pamets
Strateg which will elier these beets i Irela.
The Eurosstem has itrouce the TARGET 2 real-time,
gross settlemet (RTGS) sstem or settlemet o large-
alue pamets i euro, both omesticall a cross-
borer a a sstem or securities settlemet (TARGET2
Securities, or T2S) is curretl beig eelope.
We aim to improe the currec serice we proie. The
implemetatio o the Bakote Recclig ramework,
which obliges proessioal cash halers to autheticatebakotes beore the are re-issue, will ehace the
securit a itegrit o the currec a the qualit o
bakotes i circulatio. We will assess the role we pla i
the cash ccle a cotiue to liaise with the retail baks
to esure the sstem is eciet while at the same time
meets the ees o the retail sector a the public. The
cotiue prouctio o bakotes i the Currec Cetre
will be re-ealuate as the Eurosstem moes towars the
itrouctio o a seco series o bakotes. We will also
reiew our strateg i relatio to coi mauacture aissue.
Other challeges or us to aress iclue:
n Proisio o busiess cotiuit serices or the
bakig sector to eal with potetial crises
n Implemetatio o ehacemets to the settlemet
process, particularl relatig to securities a
collateral maagemet
Builig o CosumerProtectio
The ecoomic owtur has le to icrease
uemplomet a lower salaries or ma people,
resultig i cosumers acig iculties with regar to
their acial circumstaces. These iculties ca iclue
issues such as mortgage arrears, house repossessios,poor iestmet perormace a lack o access to suitable
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loas. The withrawal/ow-sizig o some retail baks
will also hae a impact o competitio a cosumerchoice.
Strog cosumer protectio measures are a cotiuig
requiremet a it is essetial that we buil o the goo
work alrea i place. Our ultimate objectie is to hae a
acial serices iustr where cosumers iterests are
ull protecte a our challege is to make cotiue
progress towars that goal. I practice this meas that
acial cosumers are recommee proucts that are
appropriate to their ees a that the receie a highstaar o ogoig a ollow-up serice.
A ke objectie i the comig perio will be to reiew the
Cosumer Protectio Coe. This will be a opportuit
to take stock o the Coe a see where it ees to
be stregthee. We will also reiew our Miimum
Competec Requiremets so that cosumers ca be
coet that the people proiig them aice are
qualie a competet. I the meatime, the programme
o thematic reiews, where we assess the cosumerprotectio practices i rms i a particular area a publish
the results will cotiue.
Oe o the most pressig areas o cosumer protectio
cocer is that o mortgage arrears. The Mortgage ArrearsCoe was recetl amee to gie home owers more
time ow twele moths to work out a solutio to a
arrears problem beore legal actio ca be take b their
mortgage proier. A thematic reiew will be uertake
to eamie how mortgage proiers are complig with
the Coe. We will also cotribute to the recetl orme
Goermet workig group to help eelop other
solutios to alleiate the arrears problem.
I aitio acial serice proiers will hae tomoe much more quickl to clear backlogs i halig
oerchargig cases. irm ealies will be set i this
regar or commuicatig with customers a proiig
compesatio. Eorcemet actio will ollow i our
timelies are ot met.
The ee to esure that their customers are treate airl
must be top o the agea or regulate rms.
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3
This chapter sets out our high leel goals a the actios we will be takig to achiee them.
1. Cribue Eurem eeciee d price bili
We are resposible or maitaiig price stabilit through moetar polic ormulatio at ECB leel. We aim to
ehace the eectieess o our participatio i moetar polic ormulatio through the proisio o qualit brieg
or the Goeror o Goerig Coucil issues, while recogisig that the Goeror is solel resposible as a member
o the Goerig Coucil. We are also resposible or the eectie implemetatio o moetar polic.
2. Cribue fcil bili
We hae a legal maate, i both omestic legislatio a uer the Maastricht treat, to cotribute to acial
stabilit both i Irela a across the euro area. A ke ocus i the perio ahea is to pla our part i the resolutio
o the acial crisis. This iclues moitorig oerall liquiit or the bakig sstem.
3. Eure prper d eecie reguli fcil iiui d mre
The objectie is to miimise the risk o ailure b esurig compliace with pruetial a other requiremets.
Howeer, a ew approach to superisio is eee, ocusig o a risk base approach supporte b ope a
challegig ialogue with rms b assertie sta, uerpie b a creible threat o eorcemet. The purpose o
securities market regulatio is to promote a eciet a air securities market.
4. Eure h he be iere cumer fcil erice re preced
The objectie is to protect customers a iestors through couct o busiess rules a other measures.
5. Pride idepede ecmic dice d high quli fcil iic
We also cotribute to ecoomic eelopmet b uertakig ecoomic aalsis a research esige to iorm
ecoomic polic makig across a rage o areas. A ke priorit is to proie authoritatie ecoomic aice to
Goermet b esurig that such aice is releat a timel. The proisio o high-qualit a timel statistical
iormatio is essetial or this a also to proie a soli basis or ecisios.
6. Eure efcie fcil ervice irrucure he ecm: pme d currec
Our oersight o pamet sstems role is aime pricipall at esurig that pamet a securities settlemetsstems are sae, eectie a eciet a that access to such sstems is ot restricte. We will pla a strog role
i the eelopmet o a natioal Pamets Strateg. With regar to our currec serices, we mauacture, issue,
store, process a autheticate bak otes a cois.
7. Mximie ur peril efciec d c eeciee
We will esure that the orgaisatio has the capabilit to elier the ke challeges set out i this Pla a that our
operatios are carrie out i a eectie a eciet maer.
PART B HIGH LEvEL GOALS
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Cribue Eurem eeciee d price bili
We are resposible or maitaiig price stabilit i Irela through the implemetatio o ECB ecisios o moetar
polic. As a member o the ECB Goerig Coucil, the Goeror has irect iput ito moetar polic ecisios a other
major polic areas. While the Goeror has sole ecisio makig power i relatio to ECB moetar polic ormulatio,
the eectieess with which he ca perorm his uties i this respect ma be ehace b the qualit o moetar polic
brieg, statistical iormatio, a aalsis a research proie. We are cotiuall striig to improe our cotributio
i this area.
To esure that our aalsis aapts to chagig circumstaces, we will moitor releat market tres, iicators a
istrumets, a collect sure iormatio as appropriate. The implemetatio o moetar polic will cotiue throughparticipatio i the arious ope market operatios o the Eurosstem. We will also seek to ifuece ECB ecisios o
moetar polic operatioal issues through our actie participatio i arious ECB committees.
There is a tre towars specialisatio amog atioal cetral baks withi the Eurosstem. Withi our limite resources,
we will cotiue to ieti a pursue opportuities to make a sigicat cotributio to the work o the Eurosstem.
Accorigl, we will prioritise these areas where we ca make the most sigicat cotributios a eelop urther
epertise i them.
The strategies a actios we will take to achiee this goal are:
stRatEGy aCtIon
Ehce he eeciee urpricipi i mer plicrmuli
n Support the Goeror i plaig a eectie role atthe Goerig Coucil b proiig real ecooma moetar aalsis
Impleme Eurem peri
efciel
n Implemet ew ECB iitiaties, icluig measures
propose to aress tesios i acial marketsn Participate i Eurosstem ope market operatios
Cribue he eecie uciig he Eurem
n Cotiue to actiel participate i the ESCBcommittee structures
HIGH LEvEL GOAL
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Cribue fcil bili
We hae a eplicit maate, i both omestic legislatio a uer the Maastricht treat, to cotribute to acial stabilit
both i Irela a across the euro area. A importat elemet o our work will be to proie aalsis regarig the acial
eiromet, with particular ocus o the risks a ulerabilities. We will cotiue to eelop iicators a aalsis o
acial sstem stress a publish the results withi our iacial Stabilit Reports.
We will broae a eepe our assessmets o acial stabilit through risk ieticatio, mitigatio a appropriate
eorcemet, where ecessar. Our immeiate priorit is to assist the Goermet i the process o restructurig a
recapitalisatio o the bakig sstem so the emerge as sel reliat etities. I this regar our role is to:
n Broae a eepe assessmets o acial stabilit icluig stress-testig methoologies
n Proie iput a aalsis to the Europea Cetral Bak, Europea Commissio a the soo to be establishe
Europea Sstemic Risk Boar
n Moitor a aalse liquiit positios o the acial sstem
n Complete eelopmet o the ramework or sstemic impact assessmet, so that it ca be use eectiel i the
cotet o crisis maagemet
new iteral structures hae bee establishe to proie a more cohesie approach to acial stabilit withi the
orgaisatio. The iacial Stabilit Committee is ow chaire b the Goeror a iclues seior sta rom across theregulator a cetral bakig epartmets. The Committee also meets o a more requet basis tha i the past. We are
also epaig our epertise i aalsig eelopmets i ieret sectors a markets rom a acial stabilit perspectie
with the recruitmet o more specialise sta. new applicatios or authorisatio will also be subject to itesie assessmet
rom a acial stabilit perspectie to esure that the will ot epose the acial sstem to a risk o serious istabilit.
Both iteral a publishe iacial Stabilit Reports a assessmets will also icorporate specic recommeatios
to eectiel mitigate the risks that are ietie. We will moitor eelopmets i the methoolog o acial stabilit
aalsis iteratioall as well as uertakig a strategic program o research omesticall. I particular, a major epasio i
our abilit to moitor a aalse macro-acial eelopmets at the EU leel is plae i orer to support the Goeror
i his work as a member o the ew Europea Sstemic Risk Boar.
ollowig the acial turmoil i the past ear, ew resposibilities hae eole i the area o liquiit moitorig a
aalsis which will cotiue alog with our moitorig o resere requiremets. We will ehace our collectio o market
itelligece.
We will ehace the crisis-maagemet capabilit o the orgaisatio to meet a uepecte a uplae chages i
the acial markets. We must be prepare or a uture acial ailures, which arise i spite o our best eorts. We will
assist the Miister i the work ecessar to establish a resolutio regime that is feible eough to hale the ailure o a
acial istitutio. We ee to be i a positio to respo quickl a ecietl a hae a sstem or preictig where
the et potetial crisis ma come rom. I this cotet, we are also iole i cross borer stabilit groups.
HIGH LEvEL GOAL 2
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The strategies a actios we will take to achiee this goal are:
stRatEGy aCtIon
Brde d deepeeme fcilbili
n Ehace macro pruetial assessmet b upatig eistigiicators a eelopig ew iicators
n Uertake risk assessmet o Iteratioal acial serices ao bak acial etities
n Ehace omestic crisis maagemet polic a proceuresn Assess ew applicatios or authorisatio rom a acial
stabilit perspectien Uertake research o strategic acial stabilit issuesn Ehace a eelop stress testig capabilitiesn Publish iacial Stabilit Reports which ieti the risks i the
sstem, the mitigats that ee to be put i place a the actioto be take
Cribue fcil bilieme he Eurpesemic Ri Brd d CrBrder bili grup
n Ehace aalsis o Europea macro acial coitiosn Cotribute to iteratioal polic ormulation Cotribute to Europea cross-borer crisis maagemet
iitiaties
oeree he liquidi hefcil em
n Ehace acial market itelligecen Moitor a orecast acial sstem liquiitn Assess eligibilit o assets or use as collateral i Eurosstem
operatiosn Moitor resere requiremets o acial istitutios
ai i relui hefcil crii
n Oersee eit rom Goermet guaratee to coere istitutiosn Set ew capital requiremets or baksn Liaise with natioal Asset Maagemet Agecn Proie assistace to the Commissio o Iestigatio ito the
acial crisis
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8
Eure prper d eecie reguli fcil iiui d mre
Our approach to pruetial superisio is esige to promote the saety a souess o iiiual acial istitutios a
the protectio o customer assets, through compliace with capital, solecy a other requiremets.
Compliace is moitore by assessig how acial serice proiers maage the risks they take o. Our primary objectie is to
esure that mitigatio actios are take to reuce the risks to acceptable leels. Compliace moitorig also ioles esurig
that regulatory returs are submitte a assesse, through o-site reiew meetigs a ispectios a haig issues resole
o a timely basis. A itegral part o our egagemet with rms is to hae a ialogue which is ope a challegig. Where o
compliace is etecte, we will take appropriate actio to esure that ot oly is the cosumer etrimet resole but also to
act as a icetie or proactie compliace i the uture. We will eorce the tess a probity regime esurig that etratsto the key approe positios at boar a seior maagemet leel are take up by people o competece a itegrity.
As ote aboe, we pla to eelop a risk assessmet moel. We will cosult publicly o the eelopmet o this moel which
will establish the ramework or the allocatio o resources a the operatio o o-site a risk base superisory work.
Our strategic approach to superisio is to set parameters withi which the risks iheret i the purchase or sale o a acial
serice are miimise. Those acial serice proiers that pose the greatest risk to either the stability o the acial system or
eal irectly with customers are subject to higher leels o scrutiy. The iheret impact o certai types o acial istitutios
is so high that they require more itesie superisio, or example systemically importat baks. We will ajust our approach
i a proportioate maer to the leel o risk. As we hae limite resources, the risk-base approach meas that we apply ourlimite resources to those acial istitutios with the highest impact a risk prole. It also meas that we caot commit
to proie routie risk assessmets or the smallest rms whe we eelop our risk moel. neither is it easible to eelop a
o ailure regime, as the cost o this woul be prohibitie. Our preerre approach is to proactiely aticipate a mitigate
emergig risks a problems. Howeer, i some cases it will be ecessary to respo where a acial ailure occurs.
This more itesie approach to superisio requires icrease sta resources a aalytical skills a a more requet leel
o egagemet with regulate acial serice proiers. Oer the perio o the pla we will buil a ew risk moel which will
iclue the ollowig eatures:
n determies how to eectiely moitor market eelopmets i orer to ietiy potetial risks
n Has a mechaism or ietiyig, moitorig, a mitigatig risks to the acial system regarless o the source o the
risk or the istitutios i which it is create
n Ieticatio o risk-base criteria, such as a istitutios potetial to create systemic problems or harm cosumers, or
etermiig the appropriate leel o oersight or acial actiities a istitutios
n Is calibrate to the risks pose by the rm a sector, thereby leaig to the icrease resources beig allocate to the
superisio o those rms a sectors which pose the greatest risk
n Iclues a assessmet o the istitutios busiess moel a iteral cotrols;
n Cosiers what istictios are ecessary betwee retail a wholesale proucts, a how such istictios shoul
aect how they are superise
HIGH LEvEL GOAL 3
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n Esures that similar istitutios a risks are subject to cosistet regulatio, oersight, a trasparecy
n Has a emphasis o risk mitigatio i aitio to risk assessmet
We will cotiue to carry out our resposibilities uer the Goermet guaratee scheme. This iclues moitorig the
coere istitutios compliace with their obligatios uer the scheme a reportig o compliace by the istitutios with
the scheme to stakeholers i particular the Miister or iace. As part o the implemetatio o the Goermet guaratee
or omestic creit istitutios, we hae alreay implemete a ew moel o superisio. This ioles regular o-site
presece; requet atteace at Compliace, Risk Maagemet, Iteral Auit committee meetig o the istitutio; perioic
atteace at Boar meetigs; more requet reportig a a icrease ocus o solecy, liquiity a goerace. This has
le to a better uerstaig o the risks o the istitutio. We obtai more immeiate iormatio a hae the opportuity
to ifuece behaiour at a earlier stage. We are able to assess the stregths a weakesses o maagemet a boar
perormace which has le to the stregtheig o iteral goerace.
We will proie techical assistace to the Goermet a EU o a rage o EU irecties plae oer the comig years
which will stregthe the acial serices legal ramework, a oce implemete, it will be our task to esure compliace.
These iclue the Solecy II irectie or isurace compaies a UCITS Iv a Alteratie Iestmet u Maagers
irecties or the us iustry. These measures combie with may propose irecties o bakig superisio are just the
start o a sigicat agea o iteratioal regulatory reorm.
The legal ramework or securities markets regulatio is base o a umber o EU irecties, amely: Prospectus, Market
Abuse, Trasparecy a Markets i iacial Istrumets. Major projects are uerway to eelop the systems a obtai the
ecessary sta so that we ca perorm these uctios eectiely. A joit project with the Irish Stock Exchage to uwi theelegatio o prospectus scrutiy tasks is to be uertake. This is i lie with EU requiremets, whereby the couct o this
Prospectus scrutiy role must be reture by the Irish Stock Exchage to us by 3 december 20. A joit steerig committee,
comprise o seior maagemet represetaties rom both the Cetral Bak a Irish Stock Exchage, will oersee the process.
Both orgaisatios are wholly committe to workig o a collaboratie basis to esure the prospectus approal process will
cotiue to operate o a busiess as usual basis both urig a ater the completio o this project. A cosultatie stakeholer
group will esure that releat market participats are iole i this strategically importat project. The successul coclusio
o the project will result i a seamless trasitio o the prospectus scrutiy uctio to the Cetral Bak. The primary objecties
o the prospectus uctio will be to esure that the prospectus scrutiy a approal process is part o a strog a expert
regulatory ramework a also to maitai the highly regare iteratioal reputatio o prospectus scrutiy i Irela.
We will cotiue to work closely with the auitig a accoutig proessios. This iclues proiig assistace i the
eelopmet o auitig a accoutig requiremets/guiace i the area o acial regulatio. I aitio to the statutory
obligatio o exteral auitors to report irectly to us i certai specie circumstaces, we hae iitiate a exercise whereby
they will proie assuraces i relatio to certai regulatory reports mae by acial istitutios to us.
We will cotiue to work closely with creit uios to buil a maitai leels o reseres, liquiity a proisios across
the sector to proie a buer agaist potetial uture challeges. The curret legislatie a regulatory ramework requires
moerisatio to support the goerace, acial souess a uture eelopmet o creit uios. At the request o the
Miister or iace we are uertakig a strategic reiew o the creit uio sector iolig a examiatio o the structure,
operatio, regulatio a legislatio o the sector. Its objectie is to brig orwar specic proposals to stregthe the pruetialsouess o creit uios a aise a iorm a assessmet o the uture strategic irectio o the sector.
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20
The strategies a actios we will take to achiee this goal are:
stRatEGy aCtIon
sreghe heprudeil upervirrmewrk r fciliiui hrugh heimplemei ew EUreguli
n Prepare or the implemetatio o ew EU irecties or creitistitutios a iestmet rms: CRd II, CRd III, CRd Iv a CRd v
n Itrouce reise large exposure limits or systemically importatcreit istitutios
n Prepare or the implemetatio o a ew EU irectie or isuraceuertakigs: Solecy II
n Prepare or the implemetatio o a ew EU irecties or the usiustry: UCITS Iv a Alteratie Iestmet u Maagers
n deelop superisory system or paymet istitutios
Imprve he dmeicregulr rmewrkpplig fciliiui
n Cosult o corporate goerace requiremets or creit istitutiosa isurace uertakigs
n Cosult o ew coe or relate party leign Cosult o requiremets relatig to remueratio i the acial
serices iustryn Stregthe tess a probity rameworkn Cosier the ee or aitioal requiremets i respect o iteral
goerace a risk maagemet whe iteratioal iitiaties ithese areas are publishe
n Issue valuatio Guielies outliig requiremets or aequateiteral cotrols
n Assess the capital plas o creit istitutios a moitor compliacewith the capital targets that hae bee set or each uer thePruetial Capital Assessmet Reiew
n Assess requiremet or Compulsory Mortgage Iemity Isurace ithe cotext o the Goermets Workig Group o Mortgages
n Research the easibility a esirability o imposig preetermiestaar sectoral cocetratio limits o systemically importat creitistitutios
n Explore creit iormatio eciecies a implicatios a potetialsolutios
n
Uertake a strategic reiew o the creit uio sector
Eure h upervirreurce re llced re gree rik
n Improe aalysis o preomiat risk actors icluig ehaceorwar lookig iicators o bak specic a systemic risk
n deelop a ew risk moel to target the eploymet o superisoryresources
n deelop a egagemet moel or acial istitutios baseo their risk prole a our policy o more itesie superisio,iolig close egagemet with rms a icrease umber o ositeispectios
n Apply the appropriate itesity o superisio appropriate to the riskprole o the acial serice proier
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2
Eure h ew fciliiui eerig hemrke re cmpeelmged d hvepprprie buiemdel
n Authorise ew acial istitutios i accorace with the releatregulatios
n Esure applicatios are authorise i a timely a cosistet maer
Prvide cmpliceice fcil
iiui
n Issue guiace o regulatory issuesn Ifuece the eelopmet o guiace a practice otes by other
regulatory boies
Imprve cmplicehrugh he pplici erceme pwer
n deelop Eorcemet strategy to support compliacen Iestigate allege istaces o uauthorise actiity or o
compliace with regulatory requiremets a take appropriateeorcemet actio, icluig use o superisory irectios aamiistratie sactios
n Complete programme o special iestigatios arisig rom theacial crisis
ai wih he prevei
me luderig dfcig errrim(aML CtF)
n Assist i the preparatio o guiace or iustryn Uertake programme o theme ispectios to icrease probability
o etection Report suspicious trasactios to the Garai a or Reeue
Commissioers as appropriaten Sactio acial istitutios with iaequate risk maagemet a
cotrol mechaisms
Prepre r he uwidig he delegi uci he Irih sckExchge mded b
he EU
n Uwi Market Abuse elegatio by e 202n Uwi Prospectus elegatio by e 20n Uwi Trasparecy elegatio by e 202
Eure h mrkepricip c i ir drpre mer
n Superise moitorig o trasactios by Irish Stock Exchagen Uertake iestigatios o suspicious trasactios uer the Market
Abuse regulatiosn Process applicatios or the approal o prospectusesn Moitor issuers isclosure o iormatio, isclosure o major
shareholigs a otig rights uer the Trasparecy regulatios
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Eure h he be iere cumer fcil erice re preced
Busiess couct regulatio has a quite ieret ocus rom saet a souess oersight. Its emphasis is o trasparec,
isclosure a suitabilit. I cases where trasparec requiremets aloe are isuciet, cosumers are protecte b
rules that require air treatmet a high staars o busiess couct b acial serice proiers.
Our objectie is to hae a acial serices iustr where cosumers iterests are protecte. This meas that:
n Cosumers shoul be proie with clear, releat a accurate iormatio, icluig o cost, urig the sales
process
n Cosumers shoul be recommee a prouct/serice appropriate to their ees a suitable or them
n Cosumers shoul receie a high staar o ollow-up serices, e.g., makig a claim, makig a complait, switchig
prouct, ealig with errors, polic reewals, ollow-up aice o iestmets/pesios, etc
The mai tool through which we achiee cosumer protectio is b settig, moitorig a eorcig couct o busiess
rules. We uertake cosumer ocusse ispectios a where issues are iscoere, hae them remeie. Builig
awareess o the staars epecte is also a importat part o our work. A major elemet o the eorcemet regime is
makig the cosequeces o o-compliace clear b publishig iormatio o amiistratie sactios a regulator
actios to oster a compliace culture i acial serice proiers.
The Cosumer Protectio Coe a Miimum Competec Requiremets ow require a ull reiew to esure that both the
priciples a rules that are i place, are aapte as ecessar to take accout o our eperiece i moitorig compliace.
EU irecties are also plae to improe the cosumer protectio ramework. We will also cotiue our programme o
thematic reiews which are a useul tool to istil cosumer staars.
The most pressig area o cosumer protectio cocer is that o mortgage arrears. We recetl amee our Coe i this
area to gie home owers more time ow twele moths to work out a solutio to a arrears problem beore legal actio
ca be take b their mortgage proier. We will be couctig a thematic reiew to eamie how mortgage proiers are
complig with this a other aspects o the Coe. We are cotributig to the recetl orme Goermet workig group
to help eelop other solutios to alleiate the arrears problem.
There is a legal requiremet to hae a deposit Protectio Scheme i place so that i a bak ails, customers ca be pai the
et balace i their accouts withi 20 as. This is a sigicat challege ot ol or baks a creit uios but also or
the Cetral Bak.
HIGH LEvEL GOAL 4
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The strategies a actios we will take to achiee this goal are:
stRatEGy aCtIon
sreghe he cumerpreci uperirrmer r fciliiui
n Couct a reiew o Cosumer Protectio Coe a MiimumCompetec Requiremets
n Prepare or the implemetatio o the Cosumer creit irectiea propose Package retail iestmet proucts irectie
n acilitate the trasitio o the cosumer iormatio aeucatio role to the natioal Cosumer Agec
Eure h fciliiui c irl
n Uertake a programme o theme ispectios to moitor aeorce compliace with the Cosumer Protectio Coe
n Approe bak chargesn Implemet, moitor a eorce ew coes o mortgage arrears,
licese moeleers, a leig to small a meiumsize eterprises a couct o busiess elemets o PametSerices directie
n Iestigate allege istaces o uauthorise actiit or ocompliace with regulator requiremets a take appropriateeorcemet actio, icluig use o superisor irectios aamiistratie sactios
n Uertake a reiew o prouct eelopmet staars
n Cooperate a share iormatio with iacial Serices aPesios Ombusme a natioal Cosumer Agec
Pride cmplice ice reguled eiie
n Issue guiace o cosumer protectio issues
opere d ereecmpei cheme
n Implemet deposit Guaratee Scheme or baks, builigsocieties a creit uios
n Superise the Iestor Compesatio Compa Lt
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Pride idepede ecmic dice d high quli fcil iic
We uertake ata collectio, statistical aalsis, ecoomic aalsis a research esige to iorm ecoomic polic
makig across a wie rage o areas. The results o our etesie aalsis are coee to goermet, the acial sector,
acaemia a the geeral public through a umber o ieret chaels. Our aice is primaril macroecoomic i ature.
It will hae a icrease ocus o acial sector issues a strategic polic areas such as scal polic, pa eelopmets
a competitieess. We will cotiue to prouce macroecoomic projectios or the Quarterl Bulletis a the Aual
Report.
We will also cotiue to preset techical research results i our Techical Paper series a i special articles i the mai
publicatios. We will also iteract with work i the acial stabilit area, eelopig a ew approach to stress testig, worko housig a creit a proie geeral research support.
While we hae alwas ha ormal high-leel meetigs with polic makers as a chael or commuicatio a echagig
iews, we ite to epa this role a to seek aice a iews o other iorme commetators. I particular, we will
eelop our iteractio with acaemia a other research boies.
We will cotiue to proie iorme commetar a aalsis base o the sigicat a icreasig olume o acial
statistics collecte. These statistics are essetial i ifuecig the ecisio makig process o other polic makers, acial
market participats a the public both at omestic a iteratioal leel. We will also cotribute to the eelopmet o
the Europea Sstem o Cetral Baks (ESCB) statistical ramework, particularl i relatio to ew requiremets or theEuropea Sstemic Risk Boar. Where ecessar we will eelop statistical atabases a other issemiatio methos to
ehace the aailabilit o iormatio require or polic makers a aalsts.
HIGH LEvEL GOAL 5
A compendium of Irish Economic
Statistics is published every yearwith the Annual Report
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The strategies a actios we will take to achiee this goal are:
stRatEGy aCtIon
Pride li d cmmei he iere ilecmic plic deelpme
n Prouce macroecoomic projectios a publish i QuarterlBulleti
n Proie timel a releat polic aice aime at ifuecigomestic polic makers
n Participate i Eurosstem wie suresn Collaborate with other cetres o ecoomic research i ehacig
research capacit o the Irish ecoom a acial sstem
Expd iicl upu dehce diemii
n Epa the rage o statistics o the omestic acial sector aehace the methos o issemiatio
n Eplore the ee or aitioal statistics i light o the acialcrisis
n Epa electroic reportig to all statistical retursn Improe accessibilit a releace o ata to stakeholersn Participate i joit iitiaties with the Cetral Statistics Oce to
improe statistical coerage a to miimise the reportig buren Cotribute to eelopmet o Europea Sstem o Cetral Baks
statistical rameworkn Participate i iteratioal statistical iitiaties with Bak
o Iteratioal Settlemets, Iteratioal Moetar u,Orgaisatio or Ecoomic Cooperatio a deelopmet etc
Expd ur cmmuici geerl ecmic iue
n Improe commuicatio chaels with stakeholersn Orgaise coereces o strategic research issuesn Cooperate with other research boies a uiersities o
research actiit
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Eure efcie fcil erice irrucure he ecm: pme d currec
The Cetral Bak has a importat role i the oersight o pamets sstems a i the eelopmet o pamets sstems
polic, both i the omestic a Europea cotet. Oersight o pamet sstems is aime pricipall at esurig that
pamet a securities settlemet sstems are sae, eectie a eciet a that access to such sstems is ot restricte.
This is a core requiremet or maitaiig acial stabilit a or meetig the busiess ees o the ecoom. This
oersight actiit is ocusse o the omestic retail electroic a paper-base clearig sstems while we also share i
the oersight resposibilit or Europea a iteratioal pamets sstems. This actiit is escribe i etail i the
separatel publishe Oersight Report (200).
TARGET2 (Tras-Europea Automate Real-time Gross Settlemet Epress Traser Sstem), which was itrouce i2008, is the sigle pa-Europea sstem use b each o the atioal pamet sstems to esure a uiorm wholesale
pamet irastructure, thus promotig eciec a itegratio i Europea acial markets. The et major iitiatie
is TARGET2 Securities (T2S) which will harmoise the settlemet o securities traes. T2S will act as a catalst to itegrate
Europea post-traig acial serices, a will oster competitio b proiig harmoise access to settlemet serices
withi the Europea acial market. I orer to aress the sigicat icrease i the rage a compleit o collateral
arisig rom the acial crisis, we will participate i Euro area wie project to eelop a sigle collateral maagemet
sstem (Correspoet Cetral Bakig Moel CCBM2).
The Sigle Europea Pamets Area (SEPA) will create a sigle harmoise, ope, Europea omestic pamets market.
We will pla a strog role i the eelopmet o a natioal Pamets Strateg i orer to promote the take-up o alteratiesto paper-base istrumets a cash, i lie with best iteratioal practice.
Our core uctios i relatio to currec are to mauacture, issue, store a process bak otes a cois, thereb
cotributig to the aailabilit, itegrit, securit a qualit o the euro. We are resposible or the proisio o bakotes
a cois to er strict qualit staars establishe or the Eurosstem. Currec prouctio a issue operatios are ISO
qualit accreite. The aim is to esure that there is a aequate suppl o high qualit bakotes a coi a to ahere
to ESCB securit proceures. durig 200, the Eurosstem Bakote Recclig ramework will be implemete which will
require proessioal cash halers to autheticate bakotes beore the are re-issue ito circulatio. We will moitor the
improemet i the qualit o bakotes as a result o this iitiatie. A oerall assessmet o the eectieess o the cash
ccle a our role i it will also be uertake. dema or coi has alwas bee olatile a we will moitor tres i thisregar to esure our coi prouctio a issue strateg is eciet a meets the ees o the public, the retail sector a
the baks.
HIGH LEvEL GOAL
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The strategies a actios we will take to achiee this goal are:
stRatEGy aCtIon
Deelp d implemepme d ecuriieeleme em plic
n Participate i the eelopmet o TARGET2-SECURITIES euroarea securities settlemet sstem
n Cotribute to eelopmet o a sigle collateral maagemetsstem (CCBM2) across the euro area
n Moitor implemetatio o Sigle Europea Pamets Arean Ehace pamets sstem or creit uios, eault proceures
or retail clearig a laser ebit carn Aress issues relatig to wholesale pamets such liquiit
buer, pamets capacit buer a elocit o circulation Publish Oersight Report
Pl rg rle i hedeelpme nilPme sreg
n Participate o Steerig Group or natioal PametsImplemetatio Programme Aisor Group
Pride eecie pme decuriie eleme erice
n Operate TARGET2 Euro settlemets sstem
Eure ilbili highquli b e d ci
n Mauacture, issue, store, a process bak otes a coisn Implemet the Eurosstem bak ote recclig rameworkn acilitate itrouctio o ew ES2 bak otesn deelop coi strateg
Fcilie d crdieBuie Ciui plig(BCP) rrgeme r hedmeic fcil mre
n Cooriate BCP to icrease resiliece o Irish acial istitutiosa markets to operatioal risks
n Liaise with other cetral baks cocerig BCP arragemetselsewhere
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Mximie ur peril efciec d c eeciee
A ke goal is to esure that our orgaisatio has the capabilit, aaptabilit a results-ocus ecessar to elier o the si
busiess goals ietie a that operatioal eciec a eectieess is achiee.
We will cotiue to esure that our structures are alige to support the implemetatio o our strategic pla. durig
200, we will implemet a orgaisatioal eelopmet programme a resource a eicate Project Maagemet oce
to assist i the successul elier o a wie rage o projects to be complete oer the comig ears. Our orgaisatio
structure is attache i Appei .
This pla has bee eelope agaist the backgrou o pressures o the Eurosstem a o public istitutios to eliergreater alue or moe i their use o public us. Accorigl, we will aim to operate i a cost eectie maer usig
ehace plaig a bugetig processes a cotrols.
It will be ecessar to sigicatl icrease mapower resources oer the et three ears, particularl i the regulator
areas. I aitio to recruitig aitioal sta with ew skills, eperiece a market-base epertise, we will also eelop
eistig sta through ocuse traiig, secomets, a iteral trasers to other uctios withi the orgaisatio. We
pla to uertake bechmarkig eercises with other regulator boies to esure our leels o superisor resources a
ee comparisos are appropriate a cost eectie.
Creatig a maitaiig a comprehesie perormace maagemet programme that aligs iiiual objecties withthe goals o the orgaisatio will also cotribute to the successul implemetatio o this Pla. We also recogise that goo
work/lie balace optios act as a icetie to attract a retai sta.
We are eelopig a implemetig a orgaisatio wie iormatio maagemet strateg iolig the elier o
Eterprise Cotet Maagemet (ECM) projects a the use o Busiess Itelligece (BI) tools or all critical ata. A
essetial part o successul implemetatio o ECM a BI is re-egieerig the iormatio collectio a aalsis
processes. I aitio, the recommeatios i the Mazars report o the reiew o certai regulator processes will also
be implemete as require. A ehace capabilit i busiess process re-egieerig will be eelope throughout the
orgaisatio, to proie aice a assistace to rot lie epartmets o the esig o ew a improe processes a
sstems.
We are committe to high staars o public accoutabilit, while at the same time assertig our statutor iepeece.
To be successul, we require the co-operatio o a ariet o stakeholers. These relatioships will be maage proactiel
a we are committe i uture to aoptig a cosultatie approach to polic ormulatio a to eplai the ratioale or
sigicat polic ecisios. Withi the costraits o the law, it is essetial that there is a ree fow o iormatio betwee
the orgaisatio a our stakeholers which will be aime at restorig public coece i the orgaisatio.
HIGH LEvEL GOAL
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The strategies a actios we will take to achiee this goal are:
stRatEGy aCtIon
appl high drd Crpre Gerce
n Cotiue to esure our structures are alige to support theimplemetatio o the Strategic Pla
n Itrouce a balace scorecar approach to measurigorgaisatioal perormace agaist Strategic Pla objecties
n Esure sta operate with itegrit a compl with our iteralcoe o ethics
n Reiew iteral proceures a practicesn Prepare a implemet a orgaisatio eelopmet programmen Establish a project maagemet oce
opimie reur CerlB Ireld e
n Maage iestmet a superauatio u portoliosn Maage our share o the poole portio o the ECBs ow oreig
reseres a act as portolio maager or ECB reseres o othermember state(s)
Impleme hum reurcereg liged ih urrepibiliie
n Uertake a programme o recruitmet to substatiall icreaseour mapower a supplemet our skills
n Implemet a programme o traiig a eelopmet or all sta,
ocusig o eelopig core competeciesn Ehace the perormace maagemet sstem to alig persoal
work plas with busiess objectiesn Improe iteral commuicatios to ai achieemet o strategic
prioritiesn Moitor a reiew our policies to retai sta
Ue echlg impreperi d prcee
n Implemet ke IT eelopmetal projects icluig projectsrelatig to ESCB obligatios, statistics, acial operatios,website, eterprise cotet maagemet, busiess itelligecea olie reportig
n
deelop a implemet a orgaisatio wie iormatiomaagemet strategn Reiew busiess processes to improe eciec a aopt
automate processes where appropriaten Implemet recommeatios o Mazars bechmarkig reportn deelop urther our busiess process re-egieerig capabilit
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Eure eecie reurcemgeme i lie ih beprcice
n
Ehace bugetig a costig sstems to acilitate improemaagemet iormation Prepare a moitor the implemetatio o aual operatioal
programmesn deelop perormace metrics to moitor strategic pla
implemetation Assess easibilit o a sigle le collectio sstem rom acial
serice proiers
Impre rprecd cmmuici ihehlder
n Prepare a implemet a corporate strateg or commuicatiosalige with the high leel goals
n Meet our public accoutabilit resposibilities as set out i
legislation Ehace the cosultatie imesio o polic ormulation Reesig the corporate website as a ke commuicatios tool to
refect the itegrate structure o the orgaisation Commuicate proactiel through the meia
Mge peril ri n Esure operatioal risks are maage, mitigatio measures iplace a moitore actiel
n Improe busiess cotiuit plaign Prepare cotigec pla to esure that we are able to carr out
our time critical market operatios i the eet that our mai
premises is ot aailablen Establish a qualit assurace role to reiew ke processes to
check compliace with staars a iteral cotrolsn Uertake a compliace project to assure seior maagemet
that all statutor resposibilities are beig uertake
Eure ur phicleirme mee urbuie eed
n Proie accommoatio or growth i sta umbersn deelop a log term premises strateg
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Governor
DirectorGeneral
HeadofFin
ancialRegulation
Curre
ncy
&
Corpo
rate
Services
Chief
information
Officer
Finance
&
Resources
(Secretary)
Financial
Operations
Econo
mic
Policy
&Financial
Stability
Financial
Institutions
Markets
Policy&Risk
Consumer
Protection
Enforcement
Corpo
rate
Services
Curre
ncy
Issu
e
Curre
ncy
Production
Business
Analysis
Information
Systems
Financial
Control
Human
Resources
General
Secretariat
Internal
Audit
Legal
Financial
Markets
Payments&
Securities
Settlements
Econo
mic
Analysis&
Resea
rch
Financial
Stability
Monetary
Policy&
International
Relations
Statistics
RetailBanks
Supervision
Wholesale
Banks
Supervision
Retail
Insurance
Supervision
Wholesale
Insurance
Supervision
Registrarof
Credit
Unions
Financial
Institutions
&Funds
Authorisation
Investment
Service
Providers
Supervision
Markets
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Transactions
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&
Accounting
Policy
Risk
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Codes
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I
Enforcement
II
APPEndIx ORGAnISATIOn CHART
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Central Bank of Ireland
PO Box 559,
Dame Street,
Dublin 2.
Tel: 224 6000
Fax: 671 6561
Email: [email protected] b t lb k i