boe speech, 2023-10-16
The post-financial crisis regulatory regime aims to achieve that through a mixture of: - microprudential supervision and regulation, that seeks to ensure firms have adequate financial resources and risk management - meaning failures are not frequent and that we can usually see problems coming well in advance; - macroprudential policy, which targets system-wide risks and linkages across the system; - resolution policy - which seeks to ensure that on the rare occasion that a bank fails, the failure is well managed, and losses are not borne by the taxpayer; and - international coordination in all of these areas, reflecting our interconnected global financial system.
Sentiment: neutral
Topic: financial_stability