A new assessment from the OECD shows that the Central Bank is operating in line with the G20/OECD High-Level Principles on Financial Consumer Protection.
The Central Bank had commissioned the OECD to review its supervisory functions against the global standards for financial consumer protection.
The OECD assessment found that the Central Bank is strongly committed to fostering and upholding the G20/OECD Principles.
It also found that the Central Bank aligns with international standards and that its practices are consistent with peer regulators.
Governor of the Central Bank Gabriel Makhlouf said the OECD review provided an opportunity for the bank's consumer protection supervisory functions to be assessed against global standards by an objective, independent third party.
"This is the first review of its kind by the OECD, and the Central Bank was very pleased to be a pioneer in this work, given our shared commitment to consumer protection," the Central Bank Governor said.
"Consumer protection is at the heart of everything we do in the Central Bank, aligned to our constant and predominant aim of the welfare of the people as a whole," Gabriel Makhlouf said.
"Over the last decade, the Central Bank, alongside other key public institutions, has played a significant role in strengthening the consumer protection framework in Ireland, with the aim of ensuring that our system and protections are in line with global standards," he stated.
"While this strengthening of the framework has improved supports and outcomes for consumers, we equally recognise the importance of ensuring that the framework continues to adapt and evolve so that it remains fit for purpose and future ready," he said.
"The implementation of these recommendations will sit alongside our new regulatory and supervisory framework and our forthcoming new Consumer Protection Code and ensure regulated firms are operating under a modernised set of rules and approaches as we face into a changing global economy," he added.
Derville Rowland, the Central Bank's Deputy Governor, Consumer & Investor Protection, said the OECD's assessment that the Central Bank is operating in line with the G20/OECD Principles is very positive.
"The recommendations from the OECD will support the modernisation of our regulatory and supervisory approach. In particular, we welcome that many of the OECD’s recommendations start from the consumer’s perspective, providing important insights as we work to ensure that this perspective is embedded in our integrated approach to supervision," Ms Rowland said.
"This includes insights on the way in which we provide information to consumers; our work to protect consumers in vulnerable circumstances; and ultimately how we measure our effectiveness in terms of consumer outcomes," she stated.
Ms Rowland also said the Central Bank has developed a comprehensive implementation plan to address and embed the recommendations, in line with the OECD’s expectations.
Carmine Di Noia, OECD Director for Financial and Enterprise Affairs, said that financial consumer protection is key to ensure consumers are treated fairly, receive transparent information, and are safeguarded against misconduct when purchasing financial products and services.
"Today’s digital landscape means that consumers need to navigate an ever more complex environment, making the role of governments and market conduct supervisors, such as the Central Bank of Ireland, more important than ever," the OECD director said.
