Six years after the onset of the financial crisis, economic recovery is uneven and in many cases lackluster. In a number of crisis countries unemployment has reached dramatic levels. Government finances have sharply deteriorated in many countries and will take a long time to restore towards sound positions. Although many reforms of banking and financial system regulation and supervision have been undertaken key issues remain unsolved regarding the structure of the banking system, cross-border banking activity and post-crisis business models. Fundamentally, the too-big-to-fail problem and the issue of big banks in small countries are still to be satisfactorily resolved. Big questions remain to be answered regarding the “new normal” and post-crisis potential output growth, as well as how we can build a sustainable financial system that serves the real economy. Against this background, this conference brings together top academics, senior policy makers and financial industry leaders to take stock of these issues and discuss strategies to promote postcrisis economic recovery and the reconstruction of the financial sector. Possible stumbling blocks as well as linkages between real and financial recovery will be given special attention.
Video stream of the closing panel of the SUERF/Central Bank of Iceland Conference, 2014 on “Post-Crisis Recovery and the Reconstruction of the Financial Sector”