The review of the available evidence does not, however, provide a clear road map for the optimal pace and sequencing of integration. Such questions can best be addressed only in the context of country-specific circumstances and institutional feature”. The guidance for policy makers from the above is perhaps clear.
First, reforms should  BIS central bankers’ speeches  3  strike an effective balance between the benefits of market-based financing, including competition, innovation and diversification, and the risks related to regulatory arbitrage and systemic vulnerabilities. Second, given important differences in the structure of market-based financing across countries, the best approach to mitigating systemic risks in this sector is likely to differ across jurisdictions.