The European Central Bank has a clear mandate given by the Maastricht Treaty. It preserves today and will preserve tomorrow, as it did in the past, price stability and confidence in the currency, which are necessary conditions to sustainable growth and job creations. Confidence is a key word in present circumstances.
The IAS are currently reviewed by the Basel Committee, the IOSCO (regulators for securities firms) and the IAIS (regulators for insurance firms). Some differences of opinion still exist, especially on the issue of “fair value” accounting. The IASC obviously prefers “fair values” (which means market values) for all financial instruments including the loan portfolio.