And it must insist that as a bare minimum the system has enough capital and liquidity to absorb a crisis as bad as the last one.

ECONOMIST: The task of sorting out banking is far from finished

The good news is that big banks probably now have enough capital to absorb the aggregate loss rate suffered by the system from 2007 to 2009 (although their build-up of liquidity reserves has been patchier).

ECONOMIST: The task of sorting out banking is far from finished