SI. No. 104 of 2002

European Communities (Deposit Guarantee Scheme) Regulations 2002

S.I. No. 104 of 2002

European Communities (Deposit Guarantee Schemes) Regulations 2002

I, CHARLIE MCCREEVY, Minister for Finance, in exercise of the powers conferred on me by section 3 of the European Communities Act 1972 ( No. 27 of 1972 ) and for the purpose of giving effect to Council Directive 94/19/EC of 1994¹ , hereby make the following regulations:

1.   These Regulations may be cited as the European Communities (Deposit Guarantee Schemes) Regulations 2002.

2.   These Regulations shall come into operation on the 1st day of April, 2002.

3.   Regulation 5 of the European Communities (Deposit Guarantee Schemes) Regulations, 1995 (S.I. 168 of 1995), is hereby amended --

(a) by substituting the following for paragraph (2):

(2) “The amount of a deposit maintained by a credit institution authorised by the Bank under these Regulations shall, subject to paragraph (5), be 0.2 per cent. of total deposits (including deposits on current accounts but excluding interbank deposits and negotiable certificates of deposits), denominated in euro and issued and held at offices in Member States of the credit institution, but shall not be less than €25,400”, and

(b) By substituting the following for paragraph (5):

“(5) The Bank may settle the amount of a deposit under these Regulations at the nearest round figure in hundreds of euro and by rounding up to such a figure where the amount calculated under paragraph (2) is divisible in euro by €50”.

EXPLANATORY NOTE

(This note is not part of the Instrument and does not purport to be a legal interpretation)

The Order amends sections 5(2) and 5(5) of the European Communities (Deposit Guarantee Schemes) Regulations 1995. The purpose of the amendment to section 5(2) is simply to convert the present Irish pound amount to an equivalent Euro figure, for minimum deposit contribution levels by credit institutions. The effect of this amendment is that the present figure of IR£20,000 is being replaced by €25,400 (IR£20,004). The purpose of the amendment to section 5(5) is to introduce a new, approximately equivalent, Euro figure for the settlement deposit contribution totals by credit institutions with the Central Bank. The effect of this amendment is that credit institutions are now required to settle deposit amounts due to the Central Bank by rounding up the actual amount due to the nearest €50, instead of IR£50.

¹ O.J. No. 135, 31.5.94, p.5.