As the ECB is now the competent authority for the supervision of Irish banks, the focus of our joint work includes ensuring that banks make further progress in the workout of problem loans, have credible business strategies and risk management plans to increase resilience to deterioration in their operating environment, including any adverse consequences of Brexit.
Brexit The short- and medium-term macroeconomic effects on Ireland of Brexit depend on several factors. Most directly, a slowdown in UK output growth and a depreciation of Sterling against the euro adversely affect UK-orientated Irish exporters. These factors explain why we have materially revised our growth forecasts for 2016 and 2017.