The current financial situation should spur banks and firms to overcome this state of affairs. Difficult credit conditions necessitate recourse to alternative channels of funding for sound businesses with good growth prospects.
By providing the necessary services to accompany these businesses on the capital markets, the banks can sustain their own earnings and at the same time reduce their risks, although conflicts of interest must be avoided. BIS central bankers’ speeches  1  Inflows of foreign capital could help to improve firms’ funding conditions.