They must be equipped to evaluate the risks which lie behind complex financial instruments and be able to use them effectively. There are clear signs that this is beginning to happen in Barbados.
They had to be accompanied by measures to ensure that financing conditions for small and medium-sized enterprises (SMEs) would remain equally attractive. These considerations form the core of the second pillar of our response: preserving favourable bank lending conditions and acting as a lender of last resort to solvent banks.