Essentially, it was a mispricing of those risk assets. The current events unfolding in the international economic environment are both challenging as well as unique. Though substantial progress was made to limit the effects of the financial crisis, the vulnerability still persists in the shape and size not imagined earlier.
The governor of the MNB should not be called to a parliamentary hearing when the Monetary Council raises interest rates but when reaching the target set for inflation is in jeopardy. BIS Review 39/2007  1  IV.