Moreover, the perceived risks surrounding the European situation are already having  1  For further discussion of evidence of labor market slack, see Janet L. Yellen (2012), “The Economic Outlook and Monetary Policy,” speech delivered at the Money Marketeers of New York University, New York, April 11.
Moreover, beyond merely formally attributing responsibilities, we still see banks making little progress towards more actively managing the C&E risks they face. Even certain banks that recognise the materiality of C&E risks have not reported any practices to either reduce or manage their level of risk. This year we want to see firm progress in how banks incorporate C&E risks in their risk management.