Further steps to digitise financial services in the EU The further development of digitisation will continue to be among the main priorities, and the following measures are expected to be taken in order to accelerate these processes and reach their full potential at European level: 4.1. Eliminate the fragmentation of the digital single market by: - Legislative changes aimed at creating opportunities for interoperable use of digital identity throughout the European Union. This will allow easy ‘onboarding’ of new customers entirely online, in full compliance with the requirements for combatting money laundering and terrorist financing; - Facilitating cross-border provision of financial services, including by introduction of a harmonised regime for new activities such as crowdfunding, credit intermediation, and cryptocurrency services; 4.2. Adaptation of EU legislation to facilitate digital innovation: - Regulation of activities with cryptocurrencies and financial instruments based on tokens by introducing a comprehensive regulatory framework by 2024, allowing the implementation in the financial service sector of distributed ledger technology (DLT) and cryptocurrencies, taking into account the related risks;  3  - Promoting cooperation and use of cloud computing infrastructure, including through the development of a legislative framework for the supervision of information and communication technology (ICT) providers for the financial sector; - Promoting the use of artificial intelligence tools in the financial services sector; - Adherence to the principle of technology neutrality of legislation, combined with the issuance of interpretative guidelines on how existing legislation on financial services should be applied to new technologies in order to reduce legal uncertainty. - 4.3.

For instance, the ratio of counterfeit notes in circulation to currency in circulation in the K50,000 is negligible at 0.000036% as at end June 2011. This has been the case for the past five years. Despite the aforementioned statistic, it still remains our responsibility to ensure that this illegal activity is curbed by sensitizing the general public about the genuine security features of the Zambian banknotes. Distinguished participants, the topics that will be addressed at this workshop will provide you with an opportunity to learn modern methods of cash processing. As you may be aware, the Bank has made attempts to automate cash operations. As a result, the Bank acquired the  BIS central bankers’ speeches  1  BPS 1000 banknote sorting machines with an integrated banknote destruction system in 2008. The process of automating currency operations is one of the Bank’s key strategic objectives. This workshop provides us with a unique opportunity to share our experiences with the printers of our banknotes and suppliers of the cash processing equipment. Please use this opportunity to tap knowledge from the vast experience and expertise of our resource persons. Finally, I wish to urge workshop participants to actively participate during deliberations of this Workshop. With these few words, it is now my honour and privilege to declare this workshop officially open. I THANK YOU! 2  BIS central bankers’ speeches