In other words, financial instability can have a meaningful cost to taxpayers even if it is not visible in the very short-term – a notion that all policy-makers should keep in mind.17  5/7  BIS central bankers' speeches  Conclusion I have highlighted a number of structural, cyclical and legacy-related challenges confronting the euro area banking sector.
We need to recognise the progresses made in increasing robustness of euro area banks, the establishment of the banking union, the firming of the economic recovery due to the ECB monetary policy, with the consequent improvement in banks’ future profitability as recognised by the stock market in the recent quarters.