The outbreak of the financial crisis changed this in one fell swoop. Mistrust between the private money market players began to take hold and the spread between the risk premiums for secured and unsecured money market transactions skyrocketed, the volume of money market transactions fell and the number of participants in monetary policy operations soared.
However, the issue of forbearance is not restricted to the banking sector, with the government, through tax deferrals, as well as landlords, trade creditors and others, all having a stake.