Let me sum up: •  First, blurring the lines between the state and banks threatens to destroy the unity of risk-taking and liability. •  Second, redrawing those lines calls for credible and practicable bail-in procedures. •  Third, for these procedures to be credible, the overall costs of a failure have to be reduced through higher capital buffers.
•  Fourth, the state is not a good banker and should not try to become a banker. It should only take on this role in the most exceptional cases, if at all. Thank you very much. BIS central bankers’ speeches  5