In particular, we need to make sure that the new bail-in rules are applied evenly across countries and with the minimum scope for national discretions. We also still don’t have  4  BIS central bankers’ speeches  agreement on a backstop for the Single Resolution Fund. And a European deposit insurance scheme would signal progress in completing banking union.
If the unemployment rate continues to decline on the current trajectory, it could fall to levels that have been rarely seen over the past five decades. Historically, such episodes have tended to see elevated risks of imbalances, whether in the form of high inflation in earlier decades or of financial imbalances in recent decades.