of well - run financial firms. it is because the irish financial services sector is so international that we rely on european and global institutions particularly in standard - setting. it also means we must play an active role in shaping international rules and regulations. the climate transition let me turn to matters relating to one of the major transitions of our time, climate and sustainability. we are at the point where i think it is understood by all of the risks posed by climate change to the economy, and the potential to destabilise firms and the financial system. but understanding this is the easy part. developing, implementing and enforcing a new climate and sustainable financial regulation framework is where the focus needs to be. policymakers and supervisory authorities have an important role to play in ensuring that the integration of climate issues into regulatory frameworks is effective, and credible across sectors and markets. it goes without saying that in facing a global climate crisis there has to be a global response. the importance of international cooperation on the standards, taxonomies, metrics and scenarios that we use to measure climate risks or to label products is clear. the creation of the international sustainability standards board ( issb ), is a welcome development that will see a global baseline of sustainability - related disclosure standards emerge. similarly, in relation to prudential climate risk management we support the work of the network for greening the financial system ( ngfs ) in developing scenarios to provide a common starting point for analysing climate risks to the economy and financial system. and of course we need to incorporate the impact of climate change - and our response to it - in our models of the economy. our job includes ensuring that we supervise the regulated entities that provide the new sustainable products and services to ensure that there is confidence among investors and the public in what is being provided. as the eu is recognised as a global leader in the development of this market, i think it ’ s fitting that the issb has chosen the eu, and in particular, frankfurt, as the seat of its board and office to its chair. conclusion let me conclude. the changes to our financial ecosystem are reflective of changes in our communities more generally. a feature of those changes is its accelerating pace. i suspect that st kilian would have recognised a lot of his world if had returned to it five hundred years later in 1186. but he would be amazed to see the extent of change that we have seen in the last forty, thirty or even twenty years. the challenge for policy

remarks by governor gabriel makhlouf at consulate general of ireland and ihk frankfurt event remarks by governor gabriel makhlouf at consulate general of ireland and ihk frankfurt event 19 july 2022 speech it is a pleasure to address you today. i would particularly like to thank our consul general anne - marie flynn for organising this event. 1 german – irish economic relationship ireland and germany have excellent relations, politically, culturally and economically. these relations have been documented as far back as the 7th century. when reading about the relationship, i learned that in 686 an irish monk kilian travelled to rome and then on to pagan wurzburg, where he converted duke gozbert to christianity. kilian had a rather unpleasant ending after telling gozbert that it was against the bible ’ s teachings to marry his brother ’ s widow. when gailana, the widow, heard this, she had kilian and his followers beheaded. in 752 the first bishop of wurzburg, burchard, had a cathedral built on the spot where they were executed and their remains placed in the crypt. st kilian is today the patron saint of wurzburg, heilbronn and kostheim, and of the whole region of franconia. on st kilian ’ s feast day ( just recently on 8 july ), relics ( the skulls of killian and his followers preserved in a glass case ), are – i ’ ve read - paraded through the town and put on display in the cathedral. thankfully irish / german relations today have moved beyond beheadings and patronage. what this story does highlight is the importance of and persistence of institutions to manage relationships. 2 douglass north defined institutions as the “ humanly devised constraints that structure political, economic and social interactions ”. 3 as andy haldane highlighted “ a common denominator among all … thinkers, from smith to veblen to coase to north, is that institutions rise in importance as societies become more complex, integrated and information - rich. indeed, by embedding knowledge from the past, and investing in public goods for the future, institutions … [ are ] essential prerequisites for continuing progress … ”. 4 i will come back to institutions later but let me give you some figures which demonstrate the importance of the mutual economic relationship between ireland and germany. overall, germany was ireland ’ s 3rd largest export market in 2021. germany accounted nearly 9 % of irish goods and services exports last year. of