Central Bank Act 1971

Regulation of ratios between assets and liabilities of holders of licences.

23

23.—(1) The Bank may from time to time require a holder of a licence to maintain

(a) a specified ratio,

(b) a ratio which does not exceed a specified ratio, or

(c) a ratio which is not less than a specified ratio,

between his assets and his liabilities and the specified ratio may be expressed as a percentage of the assets or liabilities concerned.

(2) A requisition under this section may be expressed to apply

(a) in relation to all holders of licences or to holders of a specified category or specified categories,

(b) in relation to the total assets or total liabilities of the holders of licences concerned or to specified assets or assets of a specified kind or specified liabilities or liabilities of a specified kind of those holders,

(c) in relation to a specified time or times or during a specified period or periods,

and shall have effect in accordance with its terms.

(3) A requisition under this section which is in force may be revoked by the Bank or may be amended by a subsequent requisition under this section.

F102[(4) In this section—

“liabilities” include such contingent liabilities as may be specified by the Bank from time to time for the purposes of this section;

“specified” means specified by the Bank in a requisition under this section.]

Annotations

Amendments:

F102

Substituted (12.07.1989) by Central Bank Act 1989 (16/1989), s. 40, S.I. No. 176 of 1989.

Modifications (not altering text):

C36

Application of section extended (23.05.1998) by Central Bank Act 1998 (2/1998), s. 9, S.I. No. 338 of 2002.

Minimum reserves.

9.—Section 23 (as amended by section 40 of the Act of 1989) of the Act of 1971 may be applied by the Bank to persons or classes of persons in the State specified under Article 19.1 of the Statute in pursuance of a requirement of the European Central Bank.

C37

References construed (31.03.2014) by European Union (Capital Requirements) Regulations 2014 (S.I. No. 158 of 2014), reg. 152(a), in effect as per reg. 1(2).

152. Notwithstanding Regulation 7(1), the references, however expressed, to the holder of a licence under section 9 of the Act of 1971, in—

(a) sections 19 to 26, section 28, sections 31 to 42 or section 58 of the Act of 1971,

…

shall be construed so as to include any person who, but for the application of Regulation 7(1), was or would have been required to hold a licence under section 9 of the Act of 1971.

Editorial Notes:

E59

Previous affecting provision: references construed (1.01.1993) by European Communities (Licensing and Supervision of Credit Institutions) Regulations 1992 (S.I. No. 395 of 1992), reg. 38(1)(a)(i), in effect as per reg. 1(2); revoked (31.03.2014) by European Union (Capital Requirements) Regulations 2014 (S.I. No. 158 of 2014), reg. 161, in effect as per reg. 1, subject to transitional provisions.