In this case as well, we felt that the proposed opening could work in the direction of sounder and more prudent management of insurance companies, providing them with a new “asset class” that would enable them more easily to reach the point on the efficient risk/return frontier most consistent with the obligations deriving from insurance liabilities.
And I would like to place our actions in the context of the broader challenges for economic policy-makers and private sector decision-makers, in our collective pursuit of return to financial stability and ensuring a sustainable economic recovery. The fundamental importance of a functioning transmission mechanism of monetary policy Like all other non-standard measures we have taken, the Securities Markets Programme is time-bound in nature.