Under European Union (EU) passporting rules a credit institution authorised in one EU Member State can establish as a branch in another Member State and/or provide services in another EU Member State without establishing a physical presence there. The supervisory responsibilities of financial regulators in relation to credit institutions operating in more than one EU member state have been set out by the EU in a number of Directives and cover both home and host state regulators.
Notification Process
- A credit institution authorised in Ireland must notify the Financial Regulator if they wish to operate under a passporting arrangement in another EU Member State.
- Credit institutions authorised in another EU Member State must notify their home state regulator if they wish to operate under a passporting arrangement in Ireland.
Role as Home State Regulator
When the Financial Regulator authorises a credit institution it is responsible, as home state regulator, for regulating their activities in other EU Member States.
Role as Host State Regulator
As host state regulator the Financial Regulator is not responsible for the prudential supervision of Irish branches of credit institutions authorised in other EU Member States and operating under a passporting arrangement in Ireland except, in co-operation with the home state regulator, for their compliance with liquidity criteria. The Financial Regulator is responsible for consumer protection issues and compliance with Anti-Money Laundering regulations for the services provided by these entities in Ireland. .
Download our 
Requirements for the Management of Liquidity Risk.