Historical background To understand the current outbreak of concerns, let us review a little bit of history. It would be useful to start of with salient developments in the world economy since the early 1900s in order to understand the relevance of financial stability in modern day financial systems.
And this observation brings me to my last two points. The de Larosière Group emphasised that once a macro-prudential risk warning has been issued “it must be clear to everyone who should act and according to which timetable”.