It seems that collapse of the financial system can be avoided by actively injecting liquidity through unconventional monetary policies at an early stage of crisis as in the recent global financial crisis. This has many implications for improving the monetary policy operational framework going forward.
Need for the conduct of macroprudential policies After the experience of the global financial crisis, it seems that a consensus has been already formed that microprudential regulations alone are not sufficient and a policy approach from a macroprudential perspective is needed.