To avoid that happening again, we need a deeply integrated financial system with well-capitalised intermediaries that are active across borders and benefit from the risk diversification options that the economic diversity of the euro area offers. Sound risk diversification within the euro area financial system will make the task of monetary policy easier even when confronted with common shocks.
A number of innovations have taken place in retail payments which have reshaped payment processes and changed the retail payments landscape. India’s payment systems are considered to be efficient, safe and secure. While acknowledging this and without trying to be complacent, the Reserve Bank has made an attempt to benchmark domestic payment systems and practices with those prevalent in prominent countries worldwide.