«At the same time, more safety is not a substitute but a complement to well capitalised banks and sound public finances» he concludes. *** Let me begin by saying thank you to the World Bank and the Agence France Trésor for inviting me to speak today.
Secondly, we must not forget that the cost of bank failures is not limited to rescuing banks or bailing out depositors but there can be large real economy costs. Thus, a well reasoned approach of regulating ownership of banks is a necessary concomitant of a stable financial system. Anti-tying measures I would now refer to an issue which is at the frontiers of regulation.