. furthermore, it is important to determine how the task of preventing asset market bubbles from developing should be shared between macro prudential and monetary policy, if at all. ensuring that policy makers are willing and able to act on any information that suggests that financial stability may be at risk is crucial. tightening macro prudential policy will never be popular since the costs of doing so are obvious and the benefits much harder to pin point. clarity regarding the objective of macro prudential policy, where responsibility lies for policy and what the accountability arrangements are, as well as the independence of the decision makers are all essential features of a strong macro prudential framework. references bank of england, ( 2011 ), “ instruments of macroprudential policy ”, discussion paper, december. http : / / www. bankofengland. co. uk / publications / other / financialstability / discussionpaper111220. pdf barrell, ray, e. philip davis, dilruba karim and iana liadze, ( 2010 ), “ bank regulation, property prices and early warning systems for banking crises in oecd countries ”, national institute of economic and social research, discussion paper no. 330, february. http : / / www. niesr. ac. uk / pdf / dp330. pdf borio, claudio and mathias drehmann, ( 2009 ), “ assessing the risk of banking crises – revisited ”, bis quarterly review, march. http : / / www. bis. org / publ / qtrpdf / r _ qt0903e. pdf bis, ( 2010 ), “ macroprudential instruments and frameworks : a stocktaking of issues and experiences ”, cgfs papers no. 38. http : / / www. bis. org / publ / cgfs38. pdf bis, ( 2011 ), “ central bank governance and financial stability : a report by a study group ”, may. http : / / www. bis. org / publ / othp14. pdf bis - fsb - imf, ( 2011 ), “ macroprudential policy tools and frameworks ”, progress repost to g20, october. http : / / www. imf. org / external / np / g20 / pdf / 102711. pdf bordo, michael d. and olivier jeanne, ( 2002 ), “ monetary policy and asset prices :

ed sibley : prudential regulation, the international financial services sector, and priorities in ireland for 2018 remarks by mr ed sibley, deputy governor ( prudential regulation ) of the central bank of ireland, at the fsi financial services forum, dublin, 8 december 2017. * * * in my remarks today, i will cover three broad areas relevant to internationally focused financial services firms. firstly, i will describe our objectives and approach to prudential regulation, secondly, i will consider some of the key challenges the international financial services sector faces, and thirdly, i will outline some of our priorities for 2018. within these broad areas, you will hear : the central bank ’ s prudential regulation priorities for delivering on its mandate of safeguarding stability and protecting consumers ; that while much progress has been made in improving the safety of the financial system, more work is required to address issues that still remain ; and that even as we are still dealing with legacy issues from the last financial crisis, significant headwinds and risks are on the horizon. regulatory and supervisory approach the core work of the central bank is focussed on delivering a financial system that is wellmanaged, well - regulated, and sustainably serves the needs of the economy and consumers over the long term. given the international nature of much of the irish financial services system, this objective includes consideration of our responsibilities regarding european financial stability. indeed, in comparable ways to your firms, the central bank is also part of the complex european financial services ecosystem – playing an active role in the european framework of regulation and supervision1. within that framework, the central bank operates a robust and effective approach to supervision that underpins our aim of enhancing the standing and reputation of the central bank ( such that it is trusted by the public and respected by our peers ), and the wider reputation and long - term attractiveness of ireland as a financial services centre. delivery of our overarching vision for the financial services system requires that we deliver effective, intrusive, analytical and outcomes - focused supervision. this is risk - based and anchored by our prism supervisory methodology. our supervisory effort involves our day to day supervisory team engagement with regulated firms ; in - depth and intensive inspections ; and high quality analysis designed to support and challenge the supervisory work. we undertake this work with the aim of ensuring that regulated firms : have sufficient financial resources, including under a plausible but severe stress ; have sustainable, capitally accretive business models, over the long