Moves in this direction can be envisaged to ensure that customers get a fair deal. Regulation and Supervision We amended several of our guidelines and issued new ones in response to the changing financial environment. We adopted the risk-based approach to supervision by an optimum allocation of our supervisory resources to institutions that we believe pose greater risks to the financial and economic system.
The two together should shape the future of our economies and ensure that they adapt to the “new normal” that will materialise once the peak of the pandemic is over. For these two reasons, the Next Generation EU package must become operational without delay. The package’s additional resources can facilitate expansionary fiscal policies, most notably in those euro area countries with limited fiscal space.