As central bankers, the first lesson was to address the financial shock and risk aversion spiral in a timely and decisively matter, to prevent a financial crisis. The financial shock hit during the first weeks of the pandemic, and it was necessary to adopt measures to restore an orderly functioning of financial markets.
I want to focus on three topics in this regard: first, the work of the Single Supervisory Mechanism (SSM); second, the role of the Single Resolution Mechanism (SRM) and the national insolvency regimes; third, the current state of affairs in the European banking sector, which is not to be overlooked in the context of the banking union. 2.