“Procyclicality and financial regulation,” Banco de España, Estabilidad Financiera 16, p. 16. BIS central bankers’ speeches  3  Basel III framework, which is expected to improve the resilience and stability of the banking system by enhancing the quality and quantity of capital and introducing leverage and liquidity requirements.
Other important initiatives have also been taken or are under way to improve and extend the scope of regulation. Examples include the regulation of hedge funds through the adoption of the Alternative Investment Fund Managers Directive and credit rating agencies, and the upcoming review of the Markets in Financial Instruments Directive (MiFID).