Today, I would like to give my views on the challenges that lie ahead this year. I believe that the four main challenges are to: •  Adapt to an environment that is still changing rapidly;  •  Resolutely pursue efforts to strengthen the resilience of the financial system by preparing for and implementing new regulations;  •  Further improve the competitiveness of the Paris financial centre;  •  Continue to support the economy by ensuring the best possible financing conditions. 1. A rapidly changing legislative and regulatory environment  First, your working environment will continue to evolve rapidly, in terms of both international financial regulation and France’s legislative framework. 1.1  A few words on the draft banking reform law in France  The financial crisis highlighted some major shortcomings of international banking and financial sector regulation as well as the inadequacy of the tools at the supervisory authorities’ disposal to reduce and address risks. The draft banking reform law reflects the commitment of the President of the French Republic to separate activities that are useful for the financing of the economy from speculative activities, which will either be ring-fenced or banned. This law sets out to enhance the protection of deposits and the security of market activities while – and I believe that this is also particularly important – striving to ensure that you are still able to offer a broad range of financial services that allow economic agents to hedge risk, borrow or invest.

Page 14 of 20  Central Bank of Chile September 2019  The Central Bank is developing a new regulatory framework that will allow the real time gross settlement (RTGS) of interbank payments in U.S. dollars, through the incorporation of this currency in the RTGS system managed and operated by the CBC. The financial system’s large-value payments in national currency are currently settled in the RTGS system, where payments are final and irrevocable in accordance with international practices. In contrast, foreign currency payments are settled through correspondent banks, a process that is not exempt from credit, operational, and liquidity risk. The requirements of the new regulatory framework were defined taking into account international experience and risk considerations, after which the draft regulations will be published for public consultation within the next weeks. Dollar settlement at the CBC will improve the competitiveness of local infrastructures and promote the development of the financial market. Moreover, the implementation of this initiative will align local FMIs with international standards, which recommend settlement in RTGS systems due to their contribution to the risk management of participants, the functioning of the economy, and the preservation of financial stability. Page 15 of 20  Central Bank of Chile September 2019  Another initiative that it is currently under development is the incorporation of the Chilean Peso to the Continuous Linked Settlement System (CLS). This financial market infrastructure is currently the international standard for the settlement of cross-currency payments because reduces the risk of settlement, also known as Hersttat Risk, to barely zero.