This is the contituation of the paper first published in the previous issue of "Bank i Kredyt" ("BK" 3/02). In the present part, the authors deal with the consequences of lacking financial stability, the most important of which is financial crises. They also discuss possible actions to enhance financial stability (preventive measures), as well as those aimed restoring it in crisis situations.

Considerations presented in both parts of the paper lead to the conclusion that financial stability is particularly important to emerging economies. It is a necessary condition to consolidate the systemic changes previously implemented, and an important factor in building the confidence in the country concerned. However, to secure an undisturbed operation of the financial system, there is a need for a concerted effort on the part of many agents, such as businesses, governments and supranational organisations.