Supervisory measures have provided banks with scope for lending: banks should use their capital buffers to absorb losses and continue to supply the economy with credit in an adequate manner. At the same time, they should suspend distributions of dividends.
The comprehensive reforms implemented after the global financial crisis are paying off: banks are now better capitalised, have additional capital buffers, and can use them more flexibly. Debt levels have risen in the public and private sectors. Persistently low interest rates could induce market participants to take on greater risks in a search for yield.