2  BIS Review 86/2005  absorbing adverse disturbances. It also requires that the financial system is facilitating a smooth and efficient reallocation of financial resources from savers to investors, that financial risk is being assessed and priced accurately and that risks are being efficiently managed.
Let me focus on three in relation to finalising our banking framework, the CRR3 and CRD6. First, we have seen that a strong regulatory framework eventually pays off. Euro area banks have been remarkably resilient in response to the pandemic, the Russian war and the recent episode of bank stress.