form of brexit will be damaging for ireland, with a “ no - deal ” brexit especially so. the mission of the central bank of ireland is to serve the public interest by safeguarding monetary and financial stability and by working to ensure that the financial system operates in the best interests of consumers and the wider economy. recognising the risks from brexit, and in line with our mandate and mission, our work has focused on ensuring that the risks to the irish economy are understood and that financial stability and consumer protection risks are identified and mitigated to the greatest extent possible. this is 1 / 2 bis central bankers'speeches particularly pertinent for the “ cliff - edge ” risks associated with a hard or no - deal brexit. we have also been working to ensure that regulated firms deliver on their responsibilities of preparing appropriately for these risks. for students of business, finance and accounting here in dkit you will no doubt be following developments with interest. brexit has forced us all to think about how we can be best prepared for such a disruptive event, not least the students of politics. the central bank supports the development of expertise in the fields of economics, business and finance, particularly for young people, such as the central bank of ireland ’ s generation €uro student ’ s award for young economists in ireland which i will launch later today when i visit st. mary ’ s college. this competition gives us an opportunity to recognise excellence in the next generation. it also gives students the chance to build valuable life skills while challenging themselves to learn more about the work performed by the central bank of ireland, the european central bank, and the eurosystem more widely. they will learn how monetary policy decisions are taken to ensure stable prices, and how key economic policies affect our daily lives. the central bank of ireland is also an employer of graduates, who have an opportunity to make a difference in the roles they undertake. our three year programme has over 70 graduates working across regulation, central banking and operations. our graduates come from a diverse range of backgrounds as we value the difference that people can bring. we will be coming to your career fair in dkit on 16th october, so make time to come and talk to us. i will now hand over to mark cassidy, the central bank ’ s director of economics and statistics who will give a short presentation, after which i look forward to an engaging discussion with you. thank you. 1 as articulated by a

. 2. review of the bank ’ s on - site examination and off - site monitoring of financial institutions given the changing environment surrounding the financial industry and the bank ’ s experiences in dealing with financial institution failures, the bank recognizes the need to review its on - site examination and off - site monitoring of financial institutions from a broad perspective. it cannot be denied that examinations and monitoring by the bank during the “ bubble ” period were not fully successful in accurately grasping the financial condition of financial institutions or, based on their findings, in prompting the bank to take necessary steps to warn other parties of the situation. a central bank implements its policy through banking transactions. therefore, its on - site examinations and off - site monitoring, which are designed to accurately grasp the financial condition of individual transaction counterparties, are important starting points for execution of its policy. they are also essential in order for the bank to accurately identify the risks in the overall financial system and the possibility of their materialization, and thereby prevent disruptions in the financial system. in conducting on - site examinations, we will continue to place emphasis on the assessment of the financial strength and risk management systems of institutions. in addition, with a view to adapting to the changing environment surrounding financial institution management, the bank will become more flexible in determining the frequency of examinations and will carry out “ targeted examination, ” which focuses on specific areas of business and management. the bank also intends to follow the condition of financial institutions on a continuous basis through a closer integration of on - site examinations and daily off - site monitoring. the bank believes that the integration should also reduce the regulatory burden on financial institutions. the bank will also make public as far as possible the findings of its research and studies on the overall financial system based on the information obtained through examinations and daily monitoring. by doing so, we hope to assist the advancement of financial institutions ’ risk management techniques. 3. loans to the deposit insurance corporation now, i would like to add a word on the bank of japan ’ s lending to the deposit insurance corporation ( dic ). the bank ’ s lending to the dic has increased significantly reflecting the massive funding needs of the dic in proceeding with the resolution of the nonperforming - loan problem of financial institutions. moreover, it has become very likely that this loan exposure will be fixed for an extended period of time. the very function of a central bank is to implement monetary policy through the purchase and sale of short - term, liquid financial assets. a