5  Figure 4 Ratio of non-performing exposures (NPE ratio) in the euro area (December 2017)  Source: European Banking Authority (2018), “Risk Dashboard, data as of Q4 2017”.
Central bank balance sheets have expanded significantly. While the stimulus has been provided in large scale, some aspects of the policy response have been targeted at particularly affected sectors of the economy. In line with the fourth lesson, these targeted measures have been designed to taper as conditions improve or to serve as a backstop should conditions deteriorate.