Of course, it is of great importance; [it helps with] the problem when the people who have collateral are not the only ones who need the loans.
The problems of counterparty risk aversion and reluctance to lend at term – that is, a breakdown in trust – first erupted in August last year. Term borrowing rates rose sharply  2  Some research results imply that Australia and New Zealand both do significantly more international trade than would be implied by empirical models of international trade.