Financial stability — Unfinished business

Global financial stability is critical for sustainable economic growth. The post-global financial crisis reform program strengthened the banking system, and, despite several shocks, the global economy and financial system appear relatively resilient. But vulnerabilities persist in banks, are growing or accelerating in nonbanks, in their interconnections, in markets, including sovereign debt, and potentially in digital finance. Supply shocks, including geopolitical threats, tariffs, limits on immigration, fragmentation, uncertainty, climate-related and cybersecurity risks, can all expose those vulnerabilities. New tools will likely be needed to identify and help manage these threats. And deregulating finance in search of growth needs to balance pruning excess with resilience.