With a common monetary policy and (micro)supervisory policies, and a fiscal policy with almost no room for manoeuvre, the macroprudential policy becomes a much-needed ‘degree of freedom’ to deal with the lending cycle, a task that traditionally has been allocated to central banks too. As the recent article IV visit of the IMF made clear, Spain is one of the few countries in Europe still not to have a macroprudential authority. Given the role that macroprudential policy will play in the future, it is probably high time that we all reflect on the optimal design of this authority in order to enhance financial stability. 2  See J. Saurina and C. Trucharte: “The countercyclical provisions of the Banco de España 2000-2016”. Banco de España, 2017, for an account of dynamic provisions in Spain, why they were introduced, their impact and lessons drawn for prudential policy. 3  See G. Jiménez, S. Ongena, J.L. Peydró and J. Saurina: “Macroprudential Policy, Countercyclical Bank Capital Buffers, and Credit Supply: Evidence from the Spanish Dynamic Provisioning Experiments”, Journal of Political Economy, 2017, for a thorough quantitative analysis of the countercyclical impact of dynamic provisions in Spain. For a broader discussion of the interaction of dynamic provisions with monetary, fiscal and regulatory policy, see A. Estrada and J. Saurina “Spanish BoomBust and Macroprudential Policy”, Financial Stability Review, Banco de España, May, 2016. 6/7  Let me conclude by stressing the relevance of the conference, given the importance of the correct measurement of credit risk.
We believe these policies would put Thailand on a strong foothold to serve as a regional connector to support closer economic integration. Last but not least, let me once again thank the FCCT for organizing this forum. The road ahead for the Thai economy indeed brings new opportunities as well as challenges, urging us to adjust ahead of the changing conditions. Being among policymakers, businesses, and journalists who gather here tonight, I hope we will continue to work together on the route to enhancing competitiveness and sustainable development of Thailand. Kob Khun Krub. BIS central bankers’ speeches  5