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Financial Stability

Financial stability can be defined as a condition in which the financial system as a whole – comprising banks and other financial intermediaries, money, credit and capital markets and market infrastructures (payment and clearing and settlement systems) – is resilient and able to withstand any unexpected shocks or unwinding of imbalances, thus minimising the likelihood of disruptions which are severe enough to jeopardise the efficient allocation of savings and the smooth flow of money and credit into the socially most beneficial uses and activities.

The December 2009 issue of the Financial Stability Report is also available in hard copy.

As of the July 2010 issue, the Financial Stability Report will be available only in pdf format.

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