In terms of capital, the domestic banking system is far more resilient than in the past. Its capital position (relative to risk-weighted assets) has improved almost threefold relative to 2007. Reliance on short-term wholesale funding from international capital markets has declined. The domestic banking system is now primarily funded by domestic customer deposits.
2/5  BIS central bankers' speeches  Funding costs have declined and remain contained, despite recent market volatility. The Central Bank has also introduced a range of macroprudential measures that aim to build resilience in the system. As mentioned above, these include the mortgage measures designed to enhance both bank and borrower resilience and mitigate the risks of credit-house price spirals emerging.