For some time, the International Monetary Fund (IMF) and World Bank annual meetings have been dominated by discussion of what to do with that troublesome child, the global financial sector. Subprime securitisation, eurozone bond funk, overreaction to the prospect of a change in US monetary policy – all have been high on the agenda in previous years. Policy-makers were focused on how to keep the child in check.
This year, things have changed. In his letter to G20 ministers, Financial Stability Board chairman, Mark Carney, signalled that the post-crisis regulatory reform programme is almost complete. Time for a round of celebratory back-slapping and a good night’s sleep? Not quite.
