Lines of reporting were reasonably independent in theory, but less so in practice. The group’s mark-to-market valuations were subject to adjustment by management and in this context, the mark-to-market accounting became a mark-to-model accounting. The traders who were performing the trades, too, had considerable influence on how the deals were marked-to-model.
The use of the international role of currencies is very much the outcome of efficient, market-driven processes, which we as policymakers take as given. What we have seen over the past ten years, since the euro was introduced, is that there has been a very gradual increase in the international use of the euro in some markets.