Every single bilateral contract alters the financial system. The system needs stabilising elements from within. Built-in incentives are crucial in setting up a sound and credible financial system. Incentives for good corporate governance and sound practices within the financial community can discipline the market and therefore strengthen the system. The market participants themselves bear the main responsibility for financial stability.
Transparency is another precondition for sound and healthy financial markets. To fully reap the beneficial effects of market discipline, relevant and timely data about the financial system have to be  BIS Review 49/2002  1  published. The IMF’s special data dissemination standards are a good example of transparency in the field of macroeconomics.