Technical work is ongoing to assess whether we can strengthen the framework further.xxvii However, much progress has been made. 13  And ten years on, it is important to take stock and acknowledge this. Banks are now jointly supervised and resolved by cross-border institutions. Banks and authorities are better prepared for bank failures, which should reduce the cost to taxpayers in the future.
The level, type and quality of regulatory capital has increased and the loss-absorbing capacity of banks has improved. We now actively intervene to address systemic risk and pro-cyclicality in the system. Also, there is a cognisance to Ireland’s vulnerability as a small open economy and the need for all sectors to build resilience.