Mr. Klaus Regling:

Some, as I tried to make clear. The report says it. However, I must always come back to the combination of global factors, including too much liquidity, interest rates that were too low, European problems, and not being fully aware of what it means if a country enters monetary union and interest rates come down permanently. In the case of Ireland, long-term interest rates were basically cut in half permanently. This created a monetary boom. We knew that this would happen but the extent and consequences were not fully appreciated. We did not have available to us the instruments, such as ESF and ESM, at the beginning of the crisis. We did not have a banking union and we did not have the ESRB, the body that is now in charge of macro-prudential risks.

We did not have a banking union, we did not have the ESRB, the body that is now in charge of macroprudential risks. We tried to co-ordinate fiscal policies through the Stability and Growth Pact but we did not systematically look at other imbalances like current account imbalances, competitiveness imbalances, all these things have been corrected but they were not there in the beginning and it contributed to the crisis. It is a combination of global, European and national failures.