Having a risk appetite cognizant of these wider responsibilities is a key part of meeting them. Central bank of Ireland initiatives From a Central Bank perspective, the Corporate Governance Code for Credit Institutions and Insurance Undertakings includes a requirement that the Board of Directors understands the risks to which an institution is exposed and documents the institution’s risk appetite.
Even as we pursue these and similar initiatives, however, the Board believes additional statutory authority is needed to address the potential for systemic risk in payment and settlement systems.