a technical perspective in that they will have access to all available services via a single gateway. moreover, these enhancements will provide an opportunity to further increase the resilience of the system. as regards the business benefits for users, we will seek to enhance the services currently provided by target2, for example by further optimising liquidity - saving mechanisms. in addition, it could be possible to add statistical tools to support banks with their regulatory reporting. in other words, just as new apps are constantly being developed for smartphones, so too will we be able to add new functionalities to the platform to meet emerging market needs and requirements. these functionalities will benefit from being designed for a single, harmonised platform. as we consolidate the financial market infrastructure in europe, another area requiring further attention is that of collateralisation. with increased regulation following the financial crisis, collateral requirements are higher than ever. this is why it is so important that banks and bis central bankers ’ speeches financial institutions are able to manage their collateral in an efficient way and why the optimisation of liquidity - saving measures presents such a benefit to market participants. with t2s, it is now possible to have a single, centralised, pool of collateral, making it much simpler and faster to move collateral from where it is to where it needs to be. this then brings to the fore the issue of harmonising our own collateralisation techniques and procedures. as we look to the future, the eurosystem will seek to drive harmonisation forwards, particularly as regards eurosystem operations for the mobilisation of marketable assets, as well as the handling procedures for non - marketable assets. we live in a fast - paced world, and customers have come to expect instant services in all aspects of life, including from their banks. this is why part of our vision for 2020 is to support the development of pan - european instant payment services, so that customers can send and receive payments at the same speed with which they can send and receive e - mails. the euro retail payments board is a multi - stakeholder body which helps foster the development of an integrated, innovative and competitive market for retail payments in euro. this summer it mandated the payments industry to design a scheme for instant payment services by november 2015. the eurosystem could also consider a possible service expansion in this context, at least on the settlement layer, in order to meet the needs of potential future instant payment providers. target, t2

. empirical estimates of potential output growth - by construction typically move somewhat over the economic cycle and this should not be confused with changes in the sustainable rate of growth. with the benefit of hindsight we were right to have been relatively cautious when the new economy paradigm was discussed at the time. instead we advocated the idea that whatever the benefits of ict, they would be best reaped over time by making clear progress in the removal of structural rigidities. given that demographics in the euro area are less dynamic than in other economies, including the us, we need even more improvements in terms of higher productivity growth, rising labour force participation and declining structural unemployment. the case for decisive structural reforms is pressing. this is not to say that there was no reform progress in europe in the past years, just that it is far from being achieved. unless member states step up their efforts they will not be able to achieve the lisbon targets, according to which the european union, by 2010, should become “ the most competitive and dynamic knowledge - based economy in the world ”. for the time being, however, it seems that the us economy has not only benefited more strongly from the growth opportunities offered by ict, but has also shown a better adjustment capacity during the past downturn. let me give you some examples of where i think further progress is needed in europe to enhance growth and economic resilience. most eu countries have undertaken initiatives for labour market reforms in recent years, but more progress is needed in attracting people into the labour market. the target employment rate of 70 % of the working age population set in the lisbon agenda is still far off : we were still at the level of 62 % in 2002. some countries have started to reform their social security systems. unemployment benefit systems have been streamlined, but in a number of cases, together with high marginal tax rates, they continue to provide a disincentive to take up work. larger contractual flexibility, such as for part - time jobs, helped to expand employment in certain segments of the labour market. but further reforms are needed that allow wages to reflect more strongly regional and sectorial productivity differences. in addition, the skill requirements posed by a knowledge - based economy imply that governments should intensify their efforts to improve education and training systems. eu countries made a lot of progress in product market reforms during the 1990s and this is an encouragement to do more. the share of eu internal market legislation not yet transposed into national laws is still too high. progress on