Past Achievements: Evaluation of Discussions over the Last 10 years After the Global Financial Crisis, work on reforming financial regulations started with a review of past crises, including the causes of each crisis. It revealed that before each financial crisis, there had always been a build-up of debt at financial institutions and in the non-financial sectors — socalled leverage build-up.
Financial regulations were therefore strengthened in a forward-looking manner. For example, attention was focused on the credit-to-GDP ratio, which has implications as a leading indicator of potential problems. There has been much valuable progress in international financial regulation and supervision over the past 10 years, including Basel III.