people. a crucial driver of this is the paris climate agreement. the agreement establishes a global commitment to limit global warming to well under two degrees celsius. very importantly, it provides for monitoring the reduction of emissions, and forges a pathway for more ambitious efforts, if current policies fall short of that goal. the paris agreement has sent out a very strong signal that policymakers and regulators will intensify their efforts over the coming years. the fact that the united states has withdrawn its support is of course no small setback. but i am confident that the international community will rally together, set the right example, and press on with implementing the paris agreement. today ’ s announcement of a climate accord between the state of california and china is a vivid example of this. china, once being amongst the world ’ s largest polluters, is now becoming one of the global champions of renewable energy. just a few days ago, the eu and china reinforced commitments to the paris agreement, pledging to : - cut back on fossil fuels - develop more green technology and - help raise $ 100 billion a year by 2020, to help poorer countries cut their emissions. so despite the setback, this is an encouraging development. numerous other initiatives, both on the national and international level, are already underway. allow me to name a few. at the end of 2015 the financial stability board launched a private sector task force on climate - related financial disclosures ( tcfd ). led by michael bloomberg, the task force also draws its members from the british financial sector, including ubs. the consultation period for the report ended just a few days ago. the report contains recommendations for an efficient and voluntary framework for climate - related financial disclosures. and these recommendations can be used by companies across all sectors. the potential impact of this framework, when put in practice, can hardly be overstated. for the first time, it will provide investors, lenders, insurers and other stakeholders with information about the concentrations of carbonrelated assets in the economy and exposures to climate - related risks. reliable, comparable and forward - looking information that will significantly improve your ability to assess, for example, how exposed potential investment targets are to the clean energy transition, and what they intend to do about it. information that is crucial for kickstarting a functioning market for climate - related risk. at a european level, the high level expert group on sustainable finance will submit its interim report to the european commission

a floating exchange rate. this had been forced on sweden by international developments with deregulation of the capital markets, in sweden as well, and not least by failures in attempts at corporative co - operation and stabilisation policy interventions. the government could now look back at 15 years of unsuccessful stabilisation policy. the shift to a new policy took place between 1993 and 1995. however, it should be added with regard to the failed defence of the krona, that experiences of free capital movements were not especially extensive. the government and the riksbank and political analysts in sweden did not have any experience of the conditions for economic policy in a globalised world. the new stabilisation policy regime the government formulated the goal for monetary policy itself in january 1993. inflation was to be maintained at two per cent per year with a tolerance interval of + / - 1 per cent. the goal is symmetric. it is as important to bring inflation up to two per cent when actual inflation is under two per cent as it is to bring down inflation when it is higher than the target. this can be said but a lot of practical issues remained to be resolved and the answers are not at all obvious : 1. how is inflation to be measured : by cpi, the gdp deflator, or some other measure of price movements? 2. shall the riksbank have other objectives besides price stability? 3. shall policies be directed at controlling the money supply or inflation directly? 4. how is confidence to be established in the riksbank ’ s policy and expectations about low inflation? 1. the inflation target the riksbank ’ s objectives has been expressed in the following way in legislation : “ the objective of the riksbank ’ s operations shall be to maintain price stability. in addition, the riksbank shall promote a safe and efficient payment system. ” the first objective has therefore been made concrete by the riksbank itself as 2 per cent inflation with a tolerance of one per cent upwards or downwards. the second objective, stability in the payment system requires monitoring of the “ infrastructure ” in the payment system and of the major institutions that could be associated with a systemic risk for the banking system. the second objective is hardly known although important and it will also continue to be the riksbank ’ s responsibility if sweden joins the monetary union, the emu. the riksbank has opted to measure inflation by the consumer price index, cpi. this measure has certain disadvantages,