At the same time, I would like to stress that the supervisor’s view on a bank’s capital level cannot and should not relieve the bank and its management from its responsibility to ensure an adequate capital level. Returning to my car analogy, I am convinced that both active and passive safety features are equally crucial to keep cars and their passengers save.
In the current recovery phase, although no signs of excessively bullish expectations are observed in asset markets and financial institutions' behavior so far, developments in financial conditions also continue to warrant close attention. IV. The Bank's Conduct of Monetary Policy Next, I will explain the Bank's conduct of monetary policy.