The poor functioning of the Hungarian financial system is poignantly shown by the evolution of private sector lending; which, again in line with the problems of legal certainty and taxation, is reflected by the unprecedented low ratio of private investment. After an earlier frenzy of activity, Hungarian banks introduced a sudden credit stop in the wake of the crisis in 2009, without any consolidation taking place later on: even in the years 2012-2011, loans showed extreme volatility and instability, in contrast with the average of the EU or the region.