In a financial crisis, the importance of the ample availability of eligible collateral accepted by central banks can hardly be overstated – after all, the most forthcoming of central bank refinancing operations can be used by counterparties only to the extent that they hold eligible collateral. 2  BIS Review 138/2009  4)  Outright purchases of covered bonds.
These challenges refocus attention on certain indispensable aspects of what it means to be part of a single currency area. The challenge of excessive public debts and deficits serves as a reminder of the need for countries in EMU to pursue sustainable fiscal policies.