It is not sufficient to safeguard the stability of each individual bank; instead, systemic risk has to be identified and combated. And obviously central banks must and will play an integral part in this macroprudential supervision. What is important to note is that these and other problems, such as internationally comparable accounting standards, can only be resolved at an international level.
Fortunately, the G20 have made a strong commitment to reaching such solutions. Now we must flesh out the general agreement made in Pittsburgh with more detail.