Lenders become more willing to accommodate this demand and to charge lower premiums on the basis of the higher value of collateral associated with higher asset valuations. The greater availability of credit leads to more assets being bought, thus boosting their price. This sets in motion a self-sustaining feedback loop.
Our plans for collaborating with industry and for supporting projects that can bring systemwide benefits, for selecting contributions from experts and independent firms, and for research and analyses in tandem with institutions and universities will all be reinforced by the creation of the ‘Milano Hub’ centre, due to start by the end of the year.