  The rationale here is that because central banks maintain close linkages with financial market participants they are in a position to pick up on financial system problems at an early stage while in a financial crisis they carry out the role of lender of last resort.
BIS Review 110/2010  5    Similarly in Korea, the desirability of strengthening the central bank’s financial stability function is being advocated in order to heighten the country’s capacity to respond to financial crises. –  The National Assembly is now examining the incorporation of this purpose in a revised draft of the Bank of Korea Act.