Oireachtas Joint and Select Committees
Wednesday, 29 January 2014
Joint Oireachtas Committee on Finance, Public Expenditure and Reform
Report on Licensed Moneylending Industry: Central Bank of Ireland
4:45 pm
Stephen Donnelly (Wicklow, Independent)
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Profitability based on turnover is not relevant. What is relevant is profitability based on invested capital. That is the only metric that is relevant. If the team in the Central Bank does not know what returns they are getting on invested capital, how can it assess the commercial case for a regulated price, which is the interest rate they can charge?