merrion street

Finance Minister Michael Noonan today announced the publication of the Central Bank (Supervision and Enforcement) Bill 2011.

The bill responds to the regulatory failures of the financial crisis. It enhances the Central Bank’s regulatory powers, drawing on the lessons of the recent past in Ireland and abroad. The bill strengthens the ability of the Central Bank to impose and supervise compliance with regulatory requirements and to undertake timely prudential interventions. The bill will provide the Central Bank with greater access to information and analysis and will underpin the credible enforcement of Irish financial services legislation in line with international best practice.

The Minister said:

The publication of the Central Bank (Supervision and Enforcement) Bill 2011 represents a significant further step in the reform of financial regulation in Ireland. The changes introduced by the bill will underpin an assertive, risk-based model of regulation supported by a credible threat of enforcement.

The publication of the bill marks the delivery of a further requirement under the EU-IMF programme of support for Ireland by introducing legislation to strengthen the supervision and enforcement powers of the Central Bank by the end of July 2011.

The bill is expected to progress to second stage in Dáil Éireann in the autumn session.