•  Third the link between financial stability and the financial cycle had been largely ignored. The architects of monetary union chose to keep financial sector supervision and regulation largely at the level of the nation state, with insufficient coordination of macro and micro-prudential supervision.
Policy responses to the crisis •  In this unprecedented global crisis, Governments, Central Banks and international organizations reacted with coordinated actions. These actions included first, direct monetary and fiscal interventions, aiming at enhancing liquidity to maintain system stability and support the economy; second, a broader mobilization to reshape the global financial architecture and mitigate the magnitude and duration of future financial crises.