The price of risk is the additional yield (or premium) an investor would expect to receive for holding a risky asset over and above the `risk-free' interest rate.
Finally, an appropriate restructuring of the banking sector should play an important role. Sound balance sheets, effective risk management and transparent, robust business models are key to strengthening banks’ resilience to shocks and to ensuring adequate access to finance, thereby laying the foundations for sustainable growth and financial stability. We are now at your disposal for questions. BIS Review 62/2010  3