One of the key issues concerning the responses of central banks to the Covid-19 economic crisis relates to keeping the banking system operationally and financially “resilient” so that they provide critical services to the real economy. The matter of “resilience” has to be seen as distinctly separate from “stability” though both these terms are intrinsically interconnected.
The approach of the Bank for International Settlements (BIS) owned by 62-member central banks and monetary authorities from around the world, which mainly promotes international cooperation among monetary and financial authorities, primarily reflects the international consensus in this area.
In a seminal speech at ...
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