Reducing the systemic impact of individual bank failures  If a bank gets into trouble and if its problems threaten to spread throughout the financial system, supervisors have to act quickly. This requires a proper set of instruments and, ultimately, private or public money that can be mobilised at short notice.
For this reason, proposals such as the Stabilisation Fund include the establishment of a war chest for financial crises, that is, a capital stock reserved for rescue measures. However, once this capital stock is depleted during a crisis, governments would again have to step in as lender of last resort.