In a speech on Ireland's funds sector, Deputy Governor McMunn said the Central Bank of Ireland is focusing on geopolitical risk, technology-driven change, resilience and regulatory adaptation as the main priorities for the period ahead. The most concrete measure announced was the publication, with French and Luxembourg counterparts, of a consultation on national guidance for money market fund weekly liquid asset levels. The guidance would supplement recent European Commission material on the money market fund sector and set an expectation that funds hold liquidity in line with the market resilience level identified by the Commission, with enhanced supervisory engagement intended to support a consistent European Union approach. McMunn also set out the Central Bank's expectations for firms using artificial intelligence and tokenisation. Firms deploying AI should be able to explain how models work, identify who is accountable for outputs and maintain human oversight, while regulation should remain technology-neutral so that the same risks receive the same treatment regardless of delivery method. On resilience, the speech reiterated the Central Bank's focus on leverage, liquidity mismatch, stress testing, operational resilience and governance, alongside domestic macroprudential measures already introduced for property funds and sterling-denominated liability-driven investment funds. McMunn added that the Central Bank is investing in supervisory data and analytics, pursuing simplification across regulation, supervision, authorisation and reporting without lowering standards, and will publish the completed supervisory review of delegation practices in Irish fund management companies next month.

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