Dáil Éireann Debate, Thursday - 10 November 2016
95. Deputy Joan Burton asked the Minister for Finance if he has ceased appointing new public interest directors to the banks; the reform of the procedures for the appointment of bank directors by the State that are currently being considered; and if he will make a statement on the matter. [34105/16]
View answerIn the Programme for a Partnership Government ('PPG') the Government has committed to, "Cease to appoint new Public Interest Directors to the banks, and reform the procedures for the appointment of bank directors by the State, with a view to increasing transparency in the process". As such I do not expect to make any new appointments of Public Interest Directors to the boards of the banks.
As the Deputy will be aware the rights for the State to appoint public interest directors to the boards of the covered institutions were derived from the terms of the guarantee schemes introduced in 2008 and last for the period of the guarantee. With the last of the guaranteed liabilities due to mature in the coming years, I believe that now is an appropriate time to review the appointment of any Government nominees to the boards of the banks and propose further open procedures for any future appointments to those boards.
Officials in my Department are continuing to review options in relation to the appointment procedures for bank directors having due regard to the distinct differences which exist from appointments to other State boards, not least the requirements of the Central Bank/Single Supervisory Mechanism Fitness and Probity Regime and the requirement to have a broad set of expertise relevant to large regulated entities in an ever more complex regulatory environment.
