In several months’ time, the ECB will take over supervision of large euro area banks. Will we no longer see banking crises after that? Since the outbreak of the financial crisis, banking regulation has made huge progress all over the world.
In Europe, approximately half a trillion euros of additional capital has flowed into the banking sector in the past three years alone, half of it from private sources. But I would never say that these improvements mean that there will be no more crises. Nobody knows where the next crisis will come from.