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Bailey asked on macroprudential policy

BOE

Bailey asked on new vulnerabilities e.g. dash for cash and macroprudential framework. Where is greatest focus?

Answer: Fingers crossed banking system has stood up well to COVID crisis which is important as this is first big test of post financial crisis regime. Seen big shifts in assets to non-bank sector. Meant we couldn't rely on traditional tool of banking sector to affect all aspects of economy. Had to go more direct. Is that right? It worked but not optimal.

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