Banking An additional concern following the earthquakes was the stability of key financial institutions including banks and insurers. These institutions play an important role in shaping the ongoing conditions in Canterbury. Further, we were conscious that significant disruptions in one region could affect the functioning of these organisations at a national level.
The ECB’s response to this second phase of the crisis has been guided by the same principle as in the first phase: decide on the appropriate level of the policy rate to maintain price stability and preserve, to the extent possible, the proper working of the transmission mechanism.