Governor Makhlouf details economic resilience and regulatory priorities
Central Bank of Ireland Governor Gabriel Makhlouf has outlined the institution's regulatory and supervisory priorities for 2026. He also provided detailed advice to the Government on strengthening economic resilience amid global uncertainties.
Five pillars for domestic resilience
Governor Makhlouf advised the Government to focus on five key areas for building domestic economic resilience.
These include growing the supply-side capacity of the economy, particularly by delivering necessary infrastructure in housing, transport, energy, and water.
Strengthening the indigenous business sector is crucial to complement foreign direct investment and enhance overall economic resilience.
Building fiscal buffers through prudent fiscal policy and rigorous expenditure control is also a priority.
Furthermore, supporting household resilience by enabling greater retail participation in financial markets and improving access to debt and equity financing for domestic businesses is essential.
Finally, the Governor emphasized working with partners to strengthen Europe's economic infrastructure and developing new multilateral trading rules that deliver certainty and stability, acknowledging the challenging international environment.
Supervisory focus on evolving risks
Governor Makhlouf outlined four key supervisory priorities for 2026, all designed to enhance resilience.
These include strengthening the financial sector against geopolitical and macro-financial uncertainties, and securing consumer and investor interests through the revised Consumer Protection Code and enhanced anti-financial crime measures.
The CBI will also focus on technology-driven transformations, particularly artificial intelligence in finance and the second Innovation Sandbox programme on payments.
Lastly, addressing environmental and societal transitions involves assessing firms' responses to climate-related risks and the increasing frequency of severe weather events.
The Central Bank will also implement new Access to Cash legislation and advance its work on innovation, including a forthcoming Discussion Paper on tokenisation.
Beyond rhetoric, a blueprint for action
The Governor's comprehensive advice provides a clear framework for Ireland to navigate a turbulent global landscape.
While the outlined priorities are sound, successful implementation will demand sustained political will and cross-sectoral collaboration.
The emphasis on both domestic buffers and European integration highlights a pragmatic recognition of Ireland's interconnected economic future.