A second is that the building boom over recent times significantly increased the supply of dwellings. It took a number of years before the rate of home construction picked up in response to faster population growth, but eventually it did pick up. This explains much of the cycle.
The Bank in its supervisory role has observed serious weaknesses in areas of governance and management. We have seen and  2  BIS Review 72/2006  dealt with directors and managers who have conflict of interest when making decisions that were not in the best interest of members.