BIS central bankers’ speeches  3  policy is low, any attempt to control credit aggregates through MP interventions would require large swings in interest rates, which in turn could cause significant distortions in relative prices outside the financial sector. While the effectiveness of MAP tools is still largely untested, a euro-area-wide MAP framework might well fill an important gap in this respect.
Indeed, big, liquid, diversified banks may respond more to MAP impulses, as we know that right up until the onset of the crisis the capital ratios of large banks were very close to the regulatory minima.