Kathleen Lynch (Cork North Central, Labour)
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Question 83: To ask the Minister for Enterprise, Trade and Innovation his response to the consultation paper on corporate governance published by the Financial Regulator. [24347/10]

Batt O'Keeffe (Cork North West, Fianna Fail)
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The consultation paper recently published by the Central Bank and the Financial Regulator relates specifically to financial institutions and insurance undertakings. Responsibility for these sectors is a matter for my colleague the Minister for Finance. For my part, I welcome the publication of the consultation paper. I understand this initiative is part of a wider strategy to update the domestic regulatory framework applying to credit institutions and insurance undertakings and that the Regulator plans to develop corporate governance frameworks for other sectors of the financial services industry such as funds and credit unions.

The Financial Regulator envisages that while the new rules should apply to all credit institutions and insurance undertakings, he has not adopted a one-size-fits-all approach. I welcome the Regulator's openness to implementing the rules proportionately, where appropriate, and to recognise institutions with a lesser economic significance and lower risk activities. I understand that the Regulator proposes to implement these new standards, following its consultation, under powers currently available to it under the Central Bank Acts and associated legislation. Interested parties are asked to comment on the proposals by end June 2010 and I look forward to seeing the new corporate governance standards published by the Regulator in due course.