Some prominent financial firms have disappeared and the investment banking model in the US, once introduced by the Glass-Seagall Act in 1933 as a response to the Great Depression and tensions in the US banking sector, no longer exists. In other countries the financial sector is very likely to shrink, at least temporarily.
The Bank adopted a collaborative approach with commercial banks for the implementation of Basel II, with working groups comprising both central bank and commercial bank Officers. A special Banking Committee meeting was held in September to review the implementation of Basel II by banks, which seem well poised to meet the set deadline.