They also provide appropriate explanations for any inaction (“comply or explain” mechanism). The ECB (European Central Bank) coordinates macroprudential policies in the banking union. The ECB (European Central Bank)’s Governing Council is responsible for taking macroprudential decisions, such as the power to top up national macroprudential measures. For instance, the ECB can set higher capital buffer requirements than those implemented by national authorities.
The Government has established institutions to provide technical support, including training and advice as well as direct financial assistance to SMEs, fiscal incentives have been provided for SME development (though, perhaps this is not sufficiently known) and some private financial institutions have opened small business windows to service the sector.