Second, also on the basis of the FSB analysis, we need to look with new eyes at the EU regulatory framework and ask ourselves whether it can properly address systemic risks stemming from shadow banking. In the past, regulation was sectoral-based, without specific consideration of the interconnections existing in reality between financial sectors.
In this context, I welcome the Commission’s Green Paper, which contains a very helpful preliminary analysis on whether the regulatory initiatives undertaken so far in Europe are addressing such new perspective. It also indicates outstanding policy issues on which further regulatory initiatives might be needed.