Our banking sector remained one of the drivers of growth in the economy and, except for the tenacious excess liquidity, there were no signs of instability in the financial system. These contributed to lift business sentiment in the country in H2 2010. 7. Let me give a brief overview of the main developments of the past year.
Defaults by debtors certainly help to instil market discipline, but they also risk significant disruption to financial markets and tend to impose higher costs on borrowers and lenders, as well as third parties, than might have been the case had the debt servicing difficulties been resolved in a more orderly manner.