##ilience of non - bank financial institutions and market - based finance. where macroprudential tools are not available, authorities may need to make use of their supervisory powers to mitigate the consequences of the materialisation of financial stability risks and ensure that markets do not become impaired. relevant authorities should also continue to monitor risks closely and enhance supervisory dialogue with supervised non - bank financial institutions where needed. [ - ] by ensuring that their risk management practices adequately reflect the deterioration in the risk environment and by heeding supervisors'guidance and expectations, non - bank financial institutions themselves can further strengthen their resilience and help prevent tail risk scenarios from materialising. for insurers, this means paying close attention to market and liquidity risks, which could materialise in a scenario of increased market volatility and high uncertainty. " ivass is carefully monitoring the heightened risks faced by the market as a whole as well as those borne by individual insurers. enhanced dialogue with supervised undertakings is in place, in line with both our long - standing supervisory approach and the above - mentioned esrb warning. as highlighted in my concluding statement to the 2021 ivass annual report, by ensuring that their risk management practices adequately reflect the risks they face, and by carefully heeding supervisors'guidance and expectations, insurers can further strengthen their resilience to exogenous shocks. they can thus help households and firms to absorb the impact of the current market turmoil and the italian economy at large to get back on track of long term, sustainable growth. 1 ignazio visco, considerazioni finali. 2 ibid. 4 / 4 bis - central bankers'speeches

of the monetary policy stance. the ongoing deterioration in the global risk appetite as of august led to an excessive depreciation in the turkish lira posing risks on the inflation outlook. in addition, sizeable price adjustments in administered products in october led the short - term inflation to increase above forecasts. in order to not to allow inflation expectations to deteriorate, the cbrt delivered an important tightening in monetary policy since october. accordingly, the interest rate corridor was widened upwards and the amount of the turkish lira funding through one - week repo auctions was adjusted and the average funding cost was raised significantly ( chart 5 ). chart 5. cbrt policies cbrt policy rates and overnight repo rates source : cbrt. cbrt funding and average interest rate source : cbrt. the monetary policy committee believes that the tight monetary policy stance should be maintained for a while to ensure that the inflation outlook is consistent with the medium term targets. moreover, due to the ongoing uncertainties regarding the global economy, we are of the opinion that maintaining a flexible monetary policy will be appropriate. the downward slope of the current yield curve signifies a tight monetary policy stance ( chart 6 ). additionally, loan interest rates have recorded a notable increase since october ( chart 7 ). as a consequence, loan growth rate declined to more reasonable levels towards the yearend ( chart 3 ). bis central bankers ’ speeches chart 6. chart 7. yield curve * consumer and tl business loan rates * ( percent ) calculated by the return on bonds quoted on the ise * flow data. * * 4 - week moving average. bonds and bills market using the extended nelson - siegel ( ens ) method. source : cbrt. source : ise, cbrt. overall, the last quarter of 2011 was marked by ongoing tightening in monetary and financial conditions and a pronounced deceleration in loans. 2. macroeconomic developments and main assumptions having climbed to 10. 45 percent at end - 2011, inflation was significantly above the target. as you all know, the article 42 of the central bank law stipulates that in the case of a significant breach of the inflation target, we are required to report to the government and announce to the public the reasons behind the breach of the target and the necessary measures to be taken. i would like to announce that we will publish the open letter that will be sent to the government today on our web - site at 12 a. m. now, i will touch upon