I am of course thinking of globalisation of the economy, demographic shifts and climate change. The current improvement in the economic climate must not be used as an excuse for postponing reforms; on the contrary, it should be seen as an opportunity to put them into practice with even greater resolve. My exposé will obviously not cover the whole issue of structural reform.
Migration to the Advanced Approaches is important for larger banks because it involves adoption of more sophisticated risk management systems. Moreover, there are reputational issues too if large banks continue with standardized approaches.