Central banks can also play their part in the build-up of that resilience, both through the execution of their price and financial stability mandate, and through their management of official reserves – even though the current low-yield environment makes it difficult to earn good returns on their financial assets. But central banks also face limitations in what they can achieve.
Attention is paid to the additional controls necessary for survey-based benchmarks, which have been a particular cause of concern. Replacing benchmarks The second option, replacing existing benchmarks with new ones, is challenging for two reasons. First, it may be difficult to find a superior alternative benchmark, which is robust and also captures the relevant economic exposures.