sound banking system and, consequently, for financial stability. bis central bankers ’ speeches i therefore call upon the iasb to continue its cooperation with the regulators, including the basel committee. three : the expected loss model must be included in the ifrs 9 standard for financial instruments – as soon as possible, i would add. ladies and gentlemen, let the granaries of the world be filled to the rafters with grain of excellent quality. and let the fields be ready to bear more great harvests. once everyone sees how well the farmers are prepared for the lean years ahead they will happily go about their business. they will trust the stability of the system that keeps them fed. i thank you for your time and will now happily take some of your questions. bis central bankers ’ speeches

when necessary – for example to safeguard financial stability and banking intermediation by preventing excessive capital flows or excessive use of the digital euro as a form of investment. even if users have to identify themselves when they first access digital euro services, different degrees of privacy can still be maintained for their payments. certain transactions could be conducted without the payment details being shared with third parties. for example, if low - value offline payments were offered, they could be settled between the payer and payee without any data being shared with intermediaries. for electronic and large - value transactions, details should be available to intermediaries. but privacyenhancing techniques could still ensure a high level of privacy. for example, the identity of users could be kept separate from payment data, allowing only financial intelligence units to obtain this information and identify the payer and payee when suspicious activity is detected. our preliminary experimentation on a digital euro is showing promising results on how technology can be used to protect user privacy without relaxing standards against illicit activities. but there could also be cases where transparency of payments would be in the interest of consumers. for example, it may be necessary to verify a payment after it has been conducted to prove that the transaction took place or if a refund is required. in any event, cash would remain available alongside a digital euro. consumers would be able to continue to make anonymous payments with banknotes, if they wish to do so. we will take all these factors into consideration as we continue our work and seek the views of stakeholders to find the right balance. this includes maintaining a close dialogue on the implications of potentially issuing a digital euro and the framework that would be needed to do so with the legislators and institutions that set the rules on privacy and data protection. a digital euro as a new and secure payment solution the security and usability of the digital euro are also particularly important for prospective users. electronic payments are becoming increasingly popular, so a digital euro would ensure that sovereign money – a public good that central banks have been offering to citizens for centuries – remains available in the digital era. people could have full confidence in both the digital euro and cash, since they are both backed by a credible central bank. this is a unique feature that no private payment scheme can provide. let me emphasise, once again, that a digital euro would not mean the end of cash. it would complement cash, not replace it. in doing so, a digital euro would contribute to a more diverse payments landscape