gediminas simkus : the future of central banking welcome speech by gediminas simkus, chairman of the board of the bank of lithuania, at the international conference " future of central banking " organised by the bank of lithuania and the bank for international settlements ( bis ) on the occasion of the centenary of the bank of lithuania, vilnius, 29 september 2022. * * * thank you, your excellency president gitanas nausda, for opening this international conference on the future of central banking. since its official establishment on 27 september 1922, the objective of lietuvos bankas has been developing a sound and sustainable monetary system that contributes to the resilience of the lithuanian economy. reestablished 1 march 1990, the lietuvos bankas continues to contribute to sustainable economic growth and the improvement of resident welfare. the fundamental principle that underlies all our activities is creating value for society. while we are all gathered here today in celebration of the centenary of lietuvos bankas, the focus of our discussions will not be reflection on what has already been accomplished. rather, we will talk about the challenges, opportunities, and changes that await lietuvos bankas – and central banking in general – over the next hundred years. dear governors, distinguished guests, ladies and gentlemen, we root our decisions in data, and as the world becomes increasingly digital, we are shifting from data - centric to data - driven policy making. in the course of this shift, we have been hearing legitimate questions as to whether central bankers will be replaced by algorithms – computers, so to speak – in the foreseeable future, given that computers can make better decisions than humans when those decisions are purely data - driven. so how will lietuvos bankas – or generally speaking, a central bank – look a hundred years from today? central banks were always data - dependent in their decision - making. but nowadays – and going forward – it no longer suffices just to have a hypothesis and validate it with data. banks must become data - driven and adept at data wrangling in order to generate useful insights. a lesson we central banks learned from the crises of the recent decades is that we don't know enough, but those who are performing the best are always the ones who know the most. 1 / 3 bis - central bankers'speeches with the power of increasingly advanced computers and near - instant access to data, it is almost certain that in a hundred years,

speech price stability and policy transmission in the euro area speech by christine lagarde, president of the ecb, at the ecb forum on central banking 2022 on “ challenges for monetary policy in a rapidly changing world ” in sintra, portugal sintra, 28 june 2022 inflation in the euro area is undesirably high and it is projected to stay that way for some time to come. this is a great challenge for our monetary policy. in response to the changing inflation outlook, we have consistently followed the path of policy normalisation since december last year, sequentially adjusting our policy stance. net asset purchases under our various programmes will come to an end this week. in july we intend to raise our policy rates for the first time in 11 years. and we have provided some guidance for our september policy meeting and the rate path we envisage taking thereafter. we will continue along this normalisation path – and we will go as far as necessary to ensure that inflation stabilises at our 2 % target over the medium term. as victor hugo is said to have remarked, perseverance is the “ secret of all triumphs ”. at the same time, the euro area differs from some other major economies for two key reasons and the path of normalisation has to be managed accordingly. first, inflation in the euro area today is being driven by a complex mix of factors that reflect, in part, our economic structures and strategic dependencies. this creates uncertainty about how quickly inflation will return to our medium - term target. in this setting, we need to act in a determined and sustained manner, incorporating our principles of gradualism and optionality. this means moving gradually if there is uncertainty about the outlook, but with the option to act decisively on any deterioration in medium - term inflation, especially if there are signs of a de - anchoring of inflation expectations. second, the euro area has a unique institutional set - up, built around 19 not yet fully integrated national financial markets and 19 national fiscal policies, with limited coordination. this presents the risk of our monetary policy stance being unevenly transmitted across the union. and this is why we have emphasised all along that flexibility is integral to the process of normalising our monetary policy. it is essential to allow us to deliver the necessary policy stance and protect price stability in an environment where inflation is too high. today, i would like to outline how a combination of shocks is currently hitting the euro area economy ; how our monetary