Financial institutions must prepare themselves for an eventual withdrawal, which, as I have said on behalf of the Governing Council, will be timely and gradual. Third, looking forward, we know that “prevention is better than cure”. “Preventive medicine” reduces the risk of future recurrence of the illness.
Recent experience has offered important insights into how public policies and private incentives can be improved so as to reduce the chances of recurrence. Through preventive medicine, we must develop a fitter and healthier financial system.