Trevor Sargent
Ceist:43 Mr. Sargent asked the Minister for Finance the considerations, if any, he has given to establishing a commission on banking in view of the number of issues facing the Irish banking system. [5537/98]
Written Answers - Banking System.
It is not immediately apparent what particular issues currently facing the banking system the Deputy is referring to in his question. Probably the greatest challenge facing Irish banks at this time is EMU. The introduction of the euro will, of course, have a major impact on the banking sector. The Irish Bankers' Federation, IBF, in co-operation with the Irish Mortgage and Savings Association, IMSA, has established a structure to plan and oversee preparations for the changeover to the euro. This structure is headed by a steering committee with expert groups on specific business areas. Officials from my Department attend the meetings of the steering committee. In addition, the IBF and IMSA are represented on the euro changeover group which was set up by my Department in 1996 to advise on technical issues in the run-up to the 1998 decision on which member states qualify for EMU and to help co-ordination of the changeover across the economy.
Other matters facing the banking sector include the future of the State banks. In relation to ACC and ICC, the Government authorised me to enter into consultations with the boards, management and staff of these banks, with a view to developing detailed proposals on the future structure and ownership of the banks, in a way which would recognise the interests of all stakeholders, including the taxpayer. I am currently awaiting formal submissions from the staff unions in both banks. In relation to the TSB, only the trustees can initiate a change in the status of the bank and I have no formal proposal from them in this regard.
Finally, there is the issue surrounding the current investigations into the activities of certain institutions. In this regard, the Moriarty tribunal is currently investigating matters, including banking issues, related to payments to Messrs. Haughey and Lowry. Also, the Revenue Commissioners and the Central Bank are currently undertaking their own investigations into certain, recently reported, activities of National Irish Bank.
As is clear, all of these issues are being addressed by the appropriate fora. In the circumstances, I do not have any plans at present to establish a separate commission.