11 Recent research at the ECB also shows that broad money growth is a particularly useful indicator of asset price booms which turned out to be particularly costly in their unwinding. 12 Monetary analysis thus helps to identify distortions and imbalances in the financial system and the implied potential risks to long-term price stability in a timely manner.
This requires that we continue the direction set in Pittsburgh in 2010. From regulatory developments to best practices, market structures are progressively changing, evolving to a new market environment that is more constrained but also more resilient. At the same time, more safety is not a substitute but a complement to well-capitalised banks and sound public finances. Thank you very much for your attention.