The root causes of the crisis, therefore, are deeply structural. There was a combination of excess savings and asymmetry in financial developments between countries which was conducive to the formation of bubbles. This disequilibrium was amplified and compounded by distorted financial innovation. There was little, or no, role for monetary policy in that process. Looking to the future, however, it is legitimate to ask how monetary policy can better contribute to financial stability. Here, I would make four points 1. Financial instability should first be addressed and dealt with by specific tools. Those tools come in many forms, such as capital or margin requirements, loan to value ratios and liquidity constraints. Most are currently available to regulators and supervisors. They have been used, however, with one objective: ensuring the robustness and viability of individual institutions. There is now a need, which is widely recognized, for a change in perspective. Regulation and supervision should be designed and implemented in a broader, systemic perspective, with the objective of ensuring the stability and integrity of the financial system as a whole. 2. There is a strong case for giving central banks a pivotal role in this new “macro financial supervision”. They have intimate knowledge of financial systems and markets. They have an incentive to act since monetary policy works better when financial institutions are robust and financial markets are stable and efficient. And, finally, they are well placed to have an integrated view of the economy and its interaction with the financial sector.
4 Source: Sustainable Finance Institute Asia 2022 report findings quoted in "Green  transition a quantum leap for SMEs" FMT news article September 2022 5 Source: The Global Sustainability Study 2021, Simon-Kucher & Partners 6 Source: The World Economic Forum  3/3  BIS - Central bankers' speeches