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Economy and Banking Sector of Ireland

Financial Market Development

Financial Market Development
4.0 (max 7.0), 69th out of 138 countries
Banks' Soundness
4.0 (max 7.0), 109th out of 138 countries

According to World Economic Forum's Global Competitiveness Report 2017-2018, financial market development in Ireland is scored 4.0 out of maximum 7.0 and ranked 69th out of 138 analysed economies, trustworthiness and confidence of financial market is scored 4.3 (67th place).

Financial Market Development in Ireland.

Chart 1. Financial Market Development in Ireland. Source: WEF.


Soundness of banks is scored 4.0 bringing Ireland into the 109th place.

Soundness of Banks in Ireland.

Chart 2. Soundness of Banks in Ireland. Source: WEF.

Further Information

Banking Focus

Banks in Ireland are mainly focused on the following areas:

  • savings and loans
  • corporate banking
  • investment banking

Banking Supervision

Central Bank of Ireland

Banking Sector Structure

Number of Banks
344
Consolidated Assets (2018)
454.63 bln EUR  (+6.17%)
Recent Changes (2018)
new banks: 4, closed banks: 14

Currently there are 344 credit institutions operating in Ireland.

In 2018 consolidated banking assets in Ireland were 454.63 bln EUR. The consolidated banking assets' evolution is shown at Chart 3 below.

Consolidated banking assets in Ireland.

Chart 3. Consolidated banking assets in Ireland.

Recent structural changes (2013 - 2018) of the banking sector of Ireland are summarised in Table 1.

201320142015201620172018
Number of Opened Banks132244
Number of Closed Banks71432442514

Table 1. Recent structural changes in the banking sector of Ireland.

The list of the most recently opened banks in Ireland is provided in Table 2.

NameStart Date
J.P. Morgan Bank Luxembourg S.A., Dublin branch (new)December 2018
Bank Julius Baer Europe S.A. (new)December 2018
Sparkasse Bank Malta plc (new)April 2018
Crédit Suisse (Luxembourg) SA (new)January 2018
Close Brothers Limited (new)December 2017
Bank of China (UK) Limited (new)July 2017
Caceis Bank (new)January 2017
Fca Bank S.p.a. (new)January 2017
Opel Bank GmbH (closed)November 2016
LGT Bank AG (new)November 2016
 

Table 2. The most recently opened banks in Ireland.

All the credit institutions operating in Ireland can be classified into several categories. Table 3 summarises the number of banks in each category.

CategoryNumber of Banks
Banks27
Branches of foreign banks39
Central banks1
Credit unions277

Table 3. Number of banks by category in Ireland.

There are 39 branches of foreign banks from 13 different countries in Ireland. Table 4 shows 10 countries having the biggest number of branches in Ireland.

Country of OriginNumber of Branches
 United Kingdom8
 France7
 Luxembourg6
 Germany5
 Netherlands4
 Belgium2
 United States1
 Switzerland1
 Liechtenstein1
 Italy1

Table 4. Number of branches of foreign banks in Ireland grouped by country of origin.

Deposit Guarantee Scheme

Maximum Protected Amount
100,000 EUR

Deposit guarantee scheme is a financial stability mechanism implemented in many countries to protect bank depositors against the loss of their deposits in the case when a bank is unable to meet its obligations to depositors by compensating certain deposits held by depositors of the bank. This compensation is paid out from the contributions which banks have made into a deposit guarantee fund.

From a depositor's point of view it is important to know:

  • if the depositor is eligible within the terms of the deposit guarantee scheme;
  • if the depositor's bank is a participant in the deposit guarantee scheme;
  • if the depositor's type of deposit is covered by the deposit guarantee scheme.

All these details about deposit guarantee scheme in Ireland are summarised in Table 5.

Maximum Protected Amount
100,000 EUR
Scheme Participants
all credit institutions operating in Ireland
branches of non-EEA banks
branches of Irish banks abroad
Scheme Exemptions
branches of EEA-banks (covered by their home countries)
Eligible Depositors
individuals
sole traders
small companies
partnerships
clubs
associations
schools
Non-Eligible Depositors
public authorities
insurers
pension funds
collective investment schemes
banks
certain other financial institutions
Covered Accounts
any credit balance on an account with a bank, for example
  • current accounts
  • demand deposit accounts
  • notice deposit accounts
  • certificates of deposit
  • fixed-term deposit accounts
  • share accounts in a building society or credit union
  • deposit element of structured deposits/tracker bonds may also be eligible
  • credit balances on credit cards issued by credit institutions may also be eligible
Paid In Currency
EUR

Table 5. Deposit guarantee scheme in Ireland.

EEA stands for European Economic Area and consists of all EU member states plus Liechtenstein, Norway and Iceland.

Further Information

Country Ceiling for Deposits

Moody's country ceilings for deposits specify the highest rating that can be assigned to local- or foreign- currency denominated deposit obligations of a bank or other deposit taking institution domiciled within that country.

Local Currency (Euro)
Aaa (prime)
Foreign Currency
Aaa (prime)

Local currency (Euro) deposit ceiling for Ireland is set to Aaa (prime), foreign currency deposit ceiling is Aaa (prime).