Michael McGrath (Cork South Central, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

135. To ask the Minister for Finance if he has reviewed the role of public interest directors in State supported financial institutions; and if he will make a statement on the matter. [9335/17]

Michael Noonan (Limerick City, Fine Gael)
Link to this: Individually | In context | Oireachtas source

As the deputy will be aware, in the Programme for a Partnership Government ('PPG') the Government has committed to, "Cease to appoint new Public Interest Directors to the banks, and reform the procedures for the appointment of bank directors by the State, with a view to increasing transparency in the process". Given these commitments  I do not have any plans to review the role of Public Interest Directors in State supported financial institutions. 

The rights for the State to appoint Public Interest Directors to the boards of the Covered Institutions were derived from the terms of the guarantee schemes introduced in 2008 and extend over the period of the guarantee. The last of the guaranteed liabilities are due to mature between now and Spring 2018 and as such I do not expect to make any new appointments of Public Interest Directors to the board of the banks. 

Going forward however, the State will have the ability to appoint directors to the banks in which it has large equity ownership positions. So in line with the commitment in the PPG, my officials have commenced a process to develop new procedures for any future appointments to bank boards.