The Department is cognisant of developments impacting the European Banking sector, and in particular the level of leverage among European banks. I am also acutely aware of the dangers to economic growth which large scale deleveraging might give rise to. To this end we are working at a European level to mitigate the risks to growth from deleveraging of the European financial system and this consideration was reflected in the directions given to banks following the last EBA stress tests. From an Irish perspective, we recognise that deleveraging initiatives among European banks may have an impact on the availability of credit to the Irish Banking system. But I would point out that the Irish banking system began the deleveraging process some time before its European counterparts and this progress is evident in improved sentiment and funding conditions for our banks. The Covered Banks are ahead of their PLAR targets and the Department will continue to work constructively with each of the Covered Banks and the Central Bank to ensure that the pace of deleveraging is appropriate within the targets set out in the Financial Measures Programme and that sufficient credit is available to the system as a whole.