Fundamental reforms  This leads me to the second issue, the fundamental reforms which are badly needed. There is a long list of work in the pipeline of international fora. The Financial Stability Board at G20 level as well as Ecofin at EU level have drawn up detailed roadmaps to pave the way for extensive reforms.
The authorities must be determined in their drive for better regulation and supervision. As explicitly noted by the Basel Committee, “the banking sector entered the crisis with an insufficient level and quality of capital, inadequate provisions, imprudent valuations, insufficient liquidity buffers, compensation polices that encouraged excessive leverage and risk taking and excessive concentration of exposures among major financial institutions”.