Federal Reserve policymakers have recently discussed how better tailoring of supervision and regulation to community  BIS central bankers’ speeches  3  banks can be helpful in reducing the extent of this problem.2 The Federal Reserve does some tailoring already, but I think we should do more. I’ll mention two examples of the kind of tailoring that I have in mind.
Mr. Trichet: The Governing Council of the ECB has always been very vocal, very strong in defending the Stability and Growth Pact at a time where some governments were opposing the Pact and wanted to dismantle it. We call for a rigorous implementation of the Stability and Growth Pact by all countries.