Such a system, with clear rules established for all participants,  BIS central bankers’ speeches  5  would greatly reduce the contingent liability placed on tax payers and reduce the presumption of bail-outs. I am convinced that these steps are worth taking and lead us towards an efficient and credible European framework.
If the financial crisis has taught us something, it is that that the sooner we identify potential problems and solve them, the less likely is the involvement of public money. A well defined and well functioning supervisory and resolution system is just about it!