Jean-Claude Trichet, President of the ECB delivered a speech at the Coface Country Risk Conference 2009 Carrousel du Louvre, Paris, on 19 January 2009.
In his speech, Trichet discussed how the full-scale test the global financial system has been subject to has revealed an excessive fragility that the prevailing mathematical models had not anticipated. He went on to say that this fragility is unacceptable.
Trichet also noted the rapid reaction of the public authorities, central banks and governments in particular, in these exceptional circumstances.
Finally he discussed how confidence is the most precious ingredient today. It is also the ingredient that is lacking most in the real and financial sphere of the economy at present.
Please click here to review the speech.