Besides harmonisation towards best practices in securitisation, accounting, insolvency law, company law and property rights, we need to take steps that address the debt-equity bias, to improve financial literacy and revive the equity investment culture. We must take steps to enhance public sector risk-sharing in EMU by creating a centralised fiscal stabilisation tool.
But first let me say a few words about how we see the current economic situation. The state of the euro area economy Overall, we see continued signs of stabilisation in the euro area economy, albeit still at a low level. The situation in financial markets has clearly improved in response to the ECB’s measures.