The Bank of Canada, as the ultimate provider of liquidity to the system, is thinking through whether to adapt its facilities to support continuous private liquidity creation, said Mark Carney, the governor of the central bank.

Carney said that it was totally unacceptable that the performance of core funding markets during the crisis intensified the financial panic and helped trigger the recession.

He also said that the crisis undermined the credibility and demonstrated the procyclicality of the