At the same time, an action plan to tackle NPLs was developed at the political level. This plan set out the need for action in three areas: first, banking supervision; second, insolvency and debt recovery frameworks; and third, secondary markets for distressed debt. And since 2015, we have made real progress in bringing down the level of NPLs.
It is relatively easy to provide either certainty or flexibility: to provide both presupposes unusual levels of competence and confidence on the part of the regulator. Regulators also need to be able to take decisions fearlessly and independently. Much is said about the importance and the necessity of central bank independence.