NEW LANDSCAPE THEME OF BANKING FEDERATION'S CONFERENCE - The Irish Banking Federation's annual conference is being held in Dublin city centre today. This year the conference is going to deal with 'The New Banking Landscape'. Leading financial professionals and academics will discuss the new landscape against the backdrop of the financial sector turmoil that has been with us for a few years now. Some familiar faces and some new ones will address the conference, with the key-note address coming from Finance Minister Brian Lenihan.
The Irish Banking Federation's Pat Farrell admits that the industry has been shaken to its core after what has happened over the last couple of years and says the sector has been a major contributor to the economic downturn here. He says that stakeholders, business and Government will bring their voices to today's conference in an attempt to get the banking industry back on track and serving its customers well. Mr Farrell says the industry is taking steady, progressive steps towards those improvements and says the pressures on lending are easing up. He says that banks are working hard with their business and personal customers who are struggling with their debts and adds that forbearance is part of the industry's responsibility.
Mr Farrell says that recent stress tests on Irish banks show that they will have sufficient capital by the end of the year and says there is 'light at the end of the tunnel' for the industry and its customers.
Accenture's Alastair Blair says a survey of 50 senior bank executives around the world reveals that rebuilding loyalty, price sensitivity and shopping around are the key issues that they are focusing on. He says that as a result of the recent financial crisis, consumers will have much greater power in their hands. He says that consumers will decide who they want to bank with and adds that regulation is now also much more consumer orientated. He says that 'Main Street' is speaking and the banks now have to listen.
Angela Knight, chief executive of the British Banker's Association, says that the banking industry is not in the same place as a few years ago and it is now possible to see a way forward. She says that banks are now managed and capitalised differently, but adds that it is critical that the G20 reaches a deal on how countries act together to prevent another financial crisis happening. She says the industry still has a bad image and did make many mistakes. Ms Knight says that from now on, banks have to be part of a community and not operate separately from it.
Listen to Angela's Knight last interview on Morning Ireland in 2008 here
***
MORNING BRIEFS - On the currency markets, the euro is trading at $1.3780 and 87.6
