Overall, these progressive but cautious policies have contributed to both efficiency and stability of the financial system and enables current growth momentum in an environment of macro stability. II. Response of the monetary authorities  A key question that has emerged from the current developments in financial markets relates to the role of monetary authorities in the context of such a crisis.
This issue is of concern to all of us in central banking. Over the last decade or two, it would appear that the focus of central banks has been narrowing relative to the more complex responsibilities that they have traditionally shouldered.