However, as in Europe, the recovery in the United States remains dependent on stimulatory settings of both fiscal and monetary policy, and fiscal issues cloud the medium-term outlook. BIS Review 67/2010  3  Graph 4  Graph 5  This international environment is clearly a mixed one.
Such a decline in credit supply, in turn, can be caused by structural changes in the banking sector and the reallocation of market shares to non-bank lenders, it can be due to a re-orientation of banks’ internal strategies, or it can be the 4/7  BIS central bankers' speeches  consequence of tighter regulations.