Financial failures cause hardship for ordinary people. Financial crises can result in job losses, financial losses, and an inability to conclude transactions. An effective resolution framework should contain safety net arrangements to protect the most vulnerable citizens from severe hardship as a result of a financial failure. vii.
Cooperation and coordination among regulators and other authorities is essential to achieving an orderly resolution, especially if a financial group operates in various jurisdictions. Coordination arrangements should be supported by appropriate legislation.