In response to the strong acceleration in prices, central banks have started a normalisation of monetary conditions in order to reabsorb the high degree of accommodation decided upon to offset the effects of the pandemic. This is necessary to keep inflation expectations anchored and bring inflation back in line with the definition of medium-term price stability adopted in the leading advanced economies. 9.
The new proposal, in effect, increases the emphasis on the supervisors' oversight of the institution's economic capital needs, as it refines the calculation of the regulatory minimum. And, of course, it seeks to obtain the assistance of market discipline as a supplement to supervisory oversight. These three pillars, I think, reflect important realities.