ESRB narrows its macro-prudential tools

Expert opinion may be divided on whether macro-prudential supervision will work, but regulators are ploughing ahead with proposals nonetheless. At the end of 2011, the European Systemic Risk Board (ESRB) – set up in December 2010 as a region-wide watchdog – was debating a list of 42 possible macro-prudential tools that could be used to deflate emerging asset bubbles and steer economies away from danger. According to Francesco Mazzaferro, head of the ESRB secretariat, the list has now been