All else being equal, a fall in neutral rates increases the likelihood that a central bank’s policy  3  For evidence of a fall in neutral rates of interest in the United States and abroad, see, among several contributions, King and Low (2014); Holston, Laubach, and Williams (2017); Rachel and Smith (2017); and Brand, Bielecki, and Penalver (2018).
But rules can only take us so far. Ultimately, it is people who make good or bad decisions. And this is where banks’ risk managers come into play. They are the first line of defence against excessive risks. Thank you for your attention. 2/2  BIS central bankers' speeches