With the global financial crisis in 2008–2009, parts of the financial system collapsed and other parts came very close. As a response to that, the European Systemic Risk Board was formed, to help monitor systemic risk, watch out for stress and challenges in the financial system and to some extent also avoid and minimize the effects.

“Inevitably, even if you’re well informed, there will be a financial crisis every now and then and you have to deal with that,” says Professor Bo Becker.

He and Lars E.O. Svensson, at the Swedish House of Finance, are both advisors on the European Systemic Risk Board.

Listen to the latest episode of the podcast Sound Economy to hear more about how the work of the ESBR in the Eurozone, why inflation is on the rise and what issues are affecting the European economy right now.