Central Bank says 'little evidence' to reduce bank capital lending requirements

Resilience necessary so banks can continue 'through good times and bad', says deputy governor

The deputy governor of the Centra Bank, Mary Elizabeth McMunn said there is "little evidence" to support calls to reduce bank capital requirements on the basis of boosting lending and competitiveness. 

The deputy governor of the Central Bank, Mary Elizabeth McMunn said there is "little evidence" to support calls to reduce bank capital requirements on the basis of boosting lending and competitiveness. 

Deputy governor Mary Elizabeth McMunn was speaking after the publication of new research from the Central Bank entitled 'Beyond the Big Three: A Broader View of Competition in the Irish Loan Market', an analysis of competition in the Irish loan market. Her comments also come on the back of a Banking and Payments Federation Ireland submission to the  European Commission’s consultation on the competitiveness of the EU banking sector, which called for targeted reforms of the banking sector, including easing capital requirements in place since the financial crisis.