The Special Resolution Bill should provide for pre-resolution powers which should be available to the Resolution Authority in order to facilitate ongoing resolution planning, the operation of the deposit guarantee scheme, and cross-border cooperation. In addition, the powers needed in a resolution process are also needed to implement the resolution strategy.
This definition implies a potentially large scope, as the referred system can comprise all financial intermediaries, regulated and unregulated; the markets of all financial assets; the infrastructure that the financial system uses to perform its tasks, including payments and settlements; and, the regulatory framework. The second element is the allusion to normal functioning.