fund sector to significantly disrupt the smooth functioning of the financial system. this of course calls for an adequate regulatory and supervisory framework so as to avoid the vulnerabilities to materialise in the future. we therefore welcome from the financial stability point of view the project of the european commission to provide a new prudential framework for insurance companies to which the ceiops is currently contributing. 3. the role of ceiops 3. 1 general consideration on the state of achievement of the internal market in the different financial sectors let me now turn to the current regulatory and supervisory framework at the european level. more specifically, today i would like to make some reflections : first about the existing differences in the eu regulatory framework among financial sectors ; second, on the lamfalussy framework and the specific work carried by ceiops in the insurance sector ; thirdly, on cross - sectoral issues. i will start with the remark that the pace of the harmonisation process had a different speed among the three sectors. although the general principles enshrining the internal market for financial services, namely the mutual recognition and the home state control as basis for the european passport, have been common to all the three sectors, the level of community - wide harmonisation has been different. this was due to both historical and political reasons. for the banking sector the role and contribution of the basel committee which provided an internationally accepted common framework is to be acknowledged. as we all know, the european capital adequacy rules for banks – which in the eu are also applied to investment firms – draws largely on the basel framework. to also note that the recent revision of the basel accord had prompted the review of the european prudential framework, and the new capital requirements directive has been adopted in a quite short time considering the technical complexities involved. the committee of european banking supervisors ( cebs ) is now working on a number of projects related to the implementation of the new regime. in the securities sector the pace of regulatory harmonisation accelerated thanks to the political impetus given for the completion of the ambitious agenda laid down by in the financial services action plan ( fsap ). also the committee of european securities regulators ( cesr ) has been very effective in helping the commission to settle difficult technical issues. with the adoption of the remaining level 2 measures for the mifid and the transparency directive, a brand new regulatory framework will be in place. the fsap was initially less focused on other financial sectors, such

note : 2017 includes the 5 retail banks and 2 retail credit firms. % change % change total roi mortgage lending €5, 728 €7, 430 30 % 29, 893 35, 472 19 % pdh - in scope ftb lending ssb lending €5, 094 €2, 611 €2, 482 €6, 708 €3, 618 €3, 091 32 % 39 % 25 % 26, 159 13, 974 12, 185 31, 618 17, 453 14, 165 21 % 25 % 16 % btl lending €173 €197 14 % 1, 408 1, 517 8 % exempt from regulations switcher negative equity other €462 €331 €99 €31 €525 €408 €87 €29 14 % 23 % - 12 % - 6 % 2, 326 1, 459 2, 337 1, 713 0 % 17 % - 32 % - 20 % source internal central bank reports. see enda keenan and martin o ’ brien ( 2018 ) “ new mortgage lending activity in a comparative context ”, central bank of ireland economic letter, vol 2018 no 5. see sharon donnery, trevor fitzpatrick, darren greaney, fergal mccann, and micheal o ’ keeffe “ resolving non - performing loans in ireland : 2010 - 2018 ” in quarterly bulletin 2018 q2. central bank internal loan level data for the five main retail banks in ireland. engagement is defined along three criteria : either the borrower has filled out a standard financial statement, has a permanent restructure to the terms of their loan in place, or is currently in a temporary restructure arrangement. see 2016 eu - wide stress test results see sharon donnery, trevor fitzpatrick, darren greaney, fergal mccann, and micheal o ’ keeffe “ resolving non - performing loans in ireland : 2010 - 2018 ” in quarterly bulletin 2018 q2. see central bank of ireland code of conduct on mortgage arrears. june 2013, 182, 840 mortgage accounts in arrears, december 2017, 92, 949 mortgage accounts in arrears. see mortgage arrears statistics. see mortgage arrears statistics. see central bank internal guideline - sustainable mortgage arrears solutions see fergal mccann ( 2017 ) – “ mortgage modification in ireland. a recent history ” central bank of ireland economic letter, vol