Since the beginning of the sovereign debt crisis, these “affected” banks’ supply of syndicated credit has been almost 20% lower overall than it would have been if tensions in government bond markets had not been present. All these points illustrate well the decisive role played by the banking sector in the inception and development of the euro area crisis.
2  BIS Review 74/2009  set of supervisory stress parameters can help identify both common trends and firm-specific weaknesses. We will incorporate into more routine supervisory practice some lessons learned from our recently completed Supervisory Capital Assessment Program of the nation's 19 largest bank holding companies. Fourth, it is important to solve through legislation the so-called boundary problem in financial regulation.