The first two reforms should improve the ability of the EU to prevent the build-up of unsustainable financial imbalances, and hence the emergence of crisis situations. The third reform will enable crises  4  BIS central bankers’ speeches  to be managed in an orderly manner by facilitating the adjustment of disequilibria. Let us briefly see what is involved.
The reform of the supervisory architecture. Three new independent authorities have been instituted, responsible for the microprudential supervision respectively of banking, insurance and the financial markets. They began operating on 1 January of this year.