It was the Global Financial Crisis that prompted the re-think in terms of legal mandates, in terms of regulation and policymaking. Macroprudential policy was introduced as a new policy area. In Europe, it is a shared responsibility between the national and the European level. Almost every member state has a national Financial Stability Council, which is responsible for the implementation of macroprudential policy domestically.
While institutional arrangements differ across countries, central banks often play an explicit role in macroprudential policy and surveillance of risks to ﬁnancial stability. Financial stability begins at home and is a national mandate. Yet, it calls for close collaboration within Europe, given the close integration of markets and the potential of spillovers.