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Irish central bank cuts counter cyclical capital buffer to 0%

Published 18/03/2020, 16:34
© Reuters.  Irish central bank cuts counter cyclical capital buffer to 0%

DUBLIN (Reuters) - The Irish central bank on Wednesday cut the amount of capital banks must set aside as extra protection against risks from future crises to zero to support the economy, households and firms through the coronavirus pandemic.

The regulator said the so-called counter cyclical capital buffer (CCyB) will be cut to 0% from 1% no later than April 2 and it plans no subsequent increase before the first quarter of 2021 at the earliest.

The central bank will meet domestic retail banks on Thursday to discuss a broader response to the crisis and said the banking system has in recent years built up capital and liquidity buffers precisely for periods such as this.

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