I have stressed the importance of transparency and a systematic approach to policy that reduces uncertainty and makes policy more predictable. These could be helpful in strengthening credibility and the public’s trust in the institution.
Their return on equity has risen from 4.4% at the end of 2015 to 7.1% at the start of this year, even as their leverage ratios have declined. All banks have benefited from the upward trend in returns on assets since the start of our monetary policy easing in 2014, although in some cases starting from low levels.