Many thanks for the reflective conversation with @jzetterlmeyer @bruegel_org today. Our topic was “lessons from Europe’s crises” of which there are many: prevention, resilience, rapid action. 1/
🐦🔗: https://n.respublicae.eu/ollirehn/status/1638597977672482820
.@jzetterlmeyer asked me if current problems of the US and Swiss banks include a lesson to the European financial system. One is regulation: in my view effective stress tests could have helped to detect imbalances especially in the US banks’ balance sheets in the first place. 2/
🐦🔗: https://n.respublicae.eu/ollirehn/status/1638597980763594752
Current banking problems should encourage the EU and @ecb to maintain the momentum completing the banking union. Capital buffers are much sturdier than before the financial crisis and play an important role in maintaining resilience in the banking system. 3/
🐦🔗: https://n.respublicae.eu/ollirehn/status/1638597983297044506
Finally, I would include the finance and investment union that some call the capital market union to the lessons learned list. It would provide more opportunities for small and medium sized businesses to access finance and stay competitive. https://www.bruegel.org/event/lessons-europes-crises-conversation-olli-rehn /4 #ECB #banks
🐦🔗: https://n.respublicae.eu/ollirehn/status/1638597985390002189