Many of the new international prudential regulations that were agreed in the wake of the Crisis, such as the enhanced capital levels, the liquidity coverage ratio, and the countercyclical buffer, are now being introduced in steps, and more regulations, such as the leverage ratio, total loss-absorbing capacity (TLAC), and net stable funding ratio (NSFR), are on the way, again in steps.
1  Since all these new internationally agreed rules are part of a bigger package, they must unfalteringly come into effect as envisaged if the rules are to have the desired effects. Having said that, we also must be mindful of the danger of the means becoming an end unto itself.