Indeed, the Spanish authorities have already implemented a system of “dynamic provisioning” which ensures that loan loss provisions rise with loan levels, on the assumption that loss experience going forward will be the same as the average loss experience based on historical experience over the full cycle.
V.  New challenges  As shown by the examples I have mentioned, central banks in the major economies – in their role as monetary policy authorities – have been implementing innovative policy measures, though they adopted the measures at different times: since the latter half of the 1990s in the case of the Bank of Japan and the current global financial crisis in the case of the Federal Reserve and the ECB.