Financial Services Regulation and Compliance - Cross Sectoral August 2019

DOMESTIC

CBI publish annual pre-Budget letter to the Minister for Finance

On 28 August 2019, the CBI published its annual pre-Budget letter to the Minister for Finance. In the letter, Acting Governor Sharon Donnery wrote to the minister to provide analysis on national economic policy development. The Acting Governor discussed a number of topics, including:

  • the risk of a disorderly Brexit on the Irish economy
  • the potential risk of overheating
  • the use of windfall tax revenue to reduce public debt and build buffers for future downturns

CBI publish Quarterly Financial Accounts

On 15 August 2019, the CBI published its Quarterly Financial Accounts for Q1 2019, which gives an insight into the financial performance of all sectors of the Irish economy. The publication finds that:

  • household net worth rose to €772bn, or roughly €444,000 per household
  • investment in financial assets by households rose to €2.3bn, including in currency and deposits (€1.4bn) and pension entitlements (€0.8bn)
  • household debt fell to €136.9bn, or €28,186 per person, its lowest level since 2005
  • government debt increased by €9.6bn to stand at €234.6bn
  • the domestic economy remains a net lender, while the government remains a net borrower, borrowing €0.4bn during the quarter

EUROPEAN

Joint EBA/ESMA response to the letter of 19 July 2019 on crypto-assets

On 21 August 2019, the EBA and ESMA issued a joint statement in response to the EU Commission's letter on crypto-assets. In the joint statement, the two institutions welcome the EU Commission's work in responding to the issues identified by their January 2019 reports on crypto-assets and initial coin offerings. They also agree that it is vital that work on these issues progresses in order to inform potential actions by the EU Commission.

Recommendation of the European Systemic Risk Board of 21 March 2019 amending Recommendation ESRB/2016/14 on closing real estate data gaps (ESRB/2019/3)

On 13 August 2019, the Recommendation of the European Systemic Risk Board of 21 March 2019 amending Recommendation ESRB/2016/14 on closing real estate data gaps (ESRB/2019/3) was published in the Official Journal of the European Union.

For more information on this topic please contact any member of A&L Goodbody's Financial Regulation team.

Date published: 12 September 2019