The situation for banks has changed dramatically since the great financial crisis, when they were part of the problem. During the pandemic, they were part of the solution − not least because, thanks to tougher regulation, they had stronger capital and liquidity positions. Now, we need banks to continue being part of the solution.
5 Non-standard monetary policy measures  The global financial crisis and the euro area debt crisis showed that the regulatory framework enshrined the Maastricht Treaty only works well if the rules set forth therein are rigorously adhered to. In the years that followed, monetary policy operated in a setting characterised by very low inflation rates and proximity to the lower bound.