Beyond this, the ECB believes that the use of reverse majority voting could be extended further across the various surveillance provisions – not just the two regulations on financial sanctions for euro area countries. Second, the enforcement tools also need to be more effective.
In my considered opinion, the famous Taylor rule can be modified suitably to include, alongside inflation and GDP, additional terms representing systemic financial conditions based on the financial parameters for detecting asset bubbles and under-pricing of risks, already delineated in the paragraph 4 of my Speech.