Ladies and gentlemen, I need not reiterate the importance of a stable financial system as a prerequisite for sustainable and inclusive economic development. We are all aware of the causes of the run-up to the global financial crisis and the consequences. We have seen percentage points to economic growth and employment rate being knocked off.
Furthermore, at least some of the instruments that qualified as “Tier 1 capital” for regulatory purposes were not reliable buffers against losses, at least not on a going concern basis.