Should banks fail, the Single Resolution Board ensures their orderly resolution with as little impact as possible on the real economy and public finances thanks also to the funds available from the Single Resolution Fund.
Only last month, the Eurogroup agreed to equip the Single Resolution Fund with a backstop financed by the ESM to further strengthen the European financial architecture.2 Looking beyond microprudential supervision, we have built up the macroprudential policy toolkit over the past ten years, to address risks of a systemic nature.