6  BIS central bankers’ speeches  they are active in the market. This level-playing field would contribute to stimulate crossborder risk-taking between EU Member States. A final point to underline is that despite other positive effects stemming from greater financial diversification and market-based finance, more financial integration can also entail financial stability risks. It can exacerbate the size and speed of contagion.
In the foreign exchange market, the yen has been depreciating from the beginning of November, and is currently being traded in the range of 111-113 yen to the U.S. dollar. With regard to corporate finance, private banks continue to be more active in extending loans mainly to blue-chip companies, while carefully evaluating the credit risks involved.