The credibility of a financial jurisdiction depends on a host of factors such as the regulatory regime, reporting systems of licensees, transparency, disclosure standards, and accountability. Malfeasance practices can easily undermine confidence in such a manner that it can shatter a jurisdiction’s reputation. Promoting transparency and fortifying the anti-corruption toolkit are mandates of central banks keen to preserve the integrity of the banking sector.
In order to bring inflation back to target, it is essential to support aggregate demand. The unconventional measures adopted by the Governing Council of the ECB are contributing to increased spending on consumption and investment goods.