Indeed, in response to financial stability risks highlighted during the crisis, ongoing challenges associated with the resolution of large cross-border firms, and the limitations of the international reform agenda, several national authorities have already introduced their own policies to fortify the resources of internationally active banks within their geographic boundaries.
Macroprudential policy is about limiting risk to the financial system as a whole. The mortgage measures are centrally important in achieving this objective. Every person has a stake in this. The mortgage measures are designed to ensure borrower resilience, but they are also designed to ensure banks lend sensibly, and that excess credit does not build up within the Irish financial system.