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Amount to be maintained in deposit protection account.
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4.— (1) A credit institution shall not carry on the business of a credit institution unless it maintains on deposit with the Bank in the deposit protection account—
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(a) such amount as may be prescribed from time to time by the Minister by regulations made in accordance with subsection (3), or
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(b) where a notification is received by a credit institution under subsection (6) of a variation under subsection (2), the amount specified therein.
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(2) (a) The Minister may, in accordance with subsection (3), by written instrument vary the amount prescribed under subsection (1) in respect of a credit institution or credit institutions or a class or classes of credit institution.
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(b) The Minister may amend or revoke a variation made under this subsection.
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(3) Where the Minister proposes to make regulations under subsection (1) or a variation under subsection (2), he or she—
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(a) shall consult with the Bank,
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(b) shall have regard to such advice as the Bank may give in respect to the matters specified in subsection (4), and
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(c) may have regard to such other matters as he or she or the Bank considers appropriate.
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(4) The matters in respect of which the Bank may advise the Minister for the purposes of subsection (3) relating to a credit institution or credit institutions or a class or classes of credit institution include the following:
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(a) the nature, scale and complexity of the business and the associated level of risk;
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(b) the level of capital and liquidity;
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(c) the adequacy of internal controls, including procedures relating to risk management and mitigation and arrangements for financial stabilisation;
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(d) the capacity to fund the proposed deposit.
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(5) A variation under subsection (2) shall be notified in writing by the Minister to the Bank.
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(6) The Bank shall notify in writing the credit institution or credit institutions concerned of a variation under subsection (2) as soon as practicable after receiving a notification under subsection (5).
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(7) A variation under subsection (2) shall take effect from the date specified in the relevant instrument.
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(8) The Bank may settle the amount of a deposit by a credit institution in the deposit protection account at the nearest round figure in hundreds of euro.
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(9) The Bank shall determine from time to time—
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(a) the rate at which deposits by credit institutions in the deposit protection account shall carry interest, and
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(b) the manner in which, and the time or times at which, that interest is payable.
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