•  Forecasting is difficult. Given the lags inherent in monetary policy and the consequent need to be forward-looking, we will continue to work on enhancing our forecasting capacity. But it’s a tough game, especially around the turning points of the cycle.
Many of the questions that can be addressed with these data have parallels with some of the issues facing policymakers regarding market based finance. The Central Bank of Ireland actively employs micro-level data to assess and understand this sector. For example, we use this to assess non-bank financial institutions’ engagement in credit intermediation, liquidity mismatch and leverage.