Unfortunately, exactly this type of information is essential to macro-prudential supervisors. Firm-specific data allows for better analysis of the magnitude and distribution of key risks and also provides insight into the inter-linkages between different financial institutions. So, in the interest of macroprudential analysis, we have to find a workable solution to firm-specific data sharing at the European level.
The instability was compounded by their herd behaviour in expanding their share of the household credit market. In fact, these two financial disturbances were overcome within a fairly short space of time thanks to the bold and decisive restructuring of financial institutions and companies, and the supply of liquidity by the central bank to deal with the credit crunch.