Consultations and impact assessments are under way, and an international standard on loss-absorbing capacity will be agreed by the G20 Summit in Antalya later this year; guidance on core policies to support cross-border recognition of resolution actions should be finalised shortly after.
According to this view, current account imbalances were the expected result of deeper integration among countries with different levels of economic development and, in a monetary union, a current account deficit reflecting the financial balance of the private sector would be no cause for concern. Credit risk monitoring would ensure adequate risk-pricing, and there would be no aggregate (and thus policy-relevant) macroeconomic imbalance.