Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

I propose to take Questions Nos. 7, 60 and 197 together.

Regarding the number and value of bonds sold in Ireland, the Central Bank of Ireland does not regulate the bonds as products and does not collect specific data on the number of bonds sold. The regulatory function of the Central Bank is limited to ensuring that the disclosure document for the offer contains all the necessary information required by the EU prospectus regulation. The bonds themselves are not listed for sale on the Irish Stock Exchange.

The legislative framework governing the approval by the Central Bank of a prospectus is provided by the EU prospectus regulation. This regulation, which takes direct effect across all EU member states, is not a minimum harmonisation document but a legal framework for all member states to fulfil the requirements as set out. As such, ensuring consistency of application of the rules across the Union is an important aspect of the regulation. Currently, the Central Bank, as the competent authority under the prospectus regulation, is required to assess prospectus documentation on the grounds of completeness, consistency and comprehensibility.

The Central Bank does not endorse the issuer or the securities by way of prospectus approval. It can only refuse the approval of a prospectus where it has a legal basis to do so. Where documentation meets the standards of the regulation, the Central Bank is required to approve a prospectus.

It is the position of the Central Bank, as set out by the Governor, that an advisory opinion of the ICJ or, indeed, the processes of the International Criminal Court do not constitute grounds for the Central Bank to refuse the prospectus of the Israeli bond programme. I do not intend introducing legislation that forbids the Central Bank of Ireland to fulfil its regulatory duties.

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