to be complemented with the further development and use of models for macro - stress testing and of financial stability indicators. these analytical tools can help monitor, and assess the implications for systemic stability, of risk exposures across institutions and markets, for instance, the common credit exposures of interconnected financial institutions to other firms, sectors or regions ; or the market risk exposures through holdings of securities or common positioning of interconnected institutions in relevant markets ( i. e. potentially leading to so - called “ crowded trades ” ). macro - prudential analysis and supervision focus, by definition, on the monitoring and assessment of systemic risk in the whole financial sector. this risk, which can emerge both during the upswing and the downswing of an economic and financial cycle, reflects the effects of macroeconomic forces and the collective behaviour of institutions and other market participants. central banks, whose primary objective is the preservation of price stability – a necessary though not sufficient condition for the stability of the financial system – and which maintain close links with the money and financial markets in order to perform their monetary policy tasks, are well suited to be the authorities mainly responsible for macro - prudential supervision. in the eu, the ecb and the european system of central banks stand ready to carry out the analytical and statistical work necessary so that the new eu body responsible for macro - prudential supervision can perform its functions effectively. at the same time, the involvement and cooperation of supervisory authorities is also essential. in addition to the proposed participation of the chairpersons of cebs, ceiops and cesr, as well as one representative of the european commission, the heads of national supervisors could be invited to join the national central bank governors as required by the subjects being discussed. appropriate links should also be established between the escb and the proposed european system of financial supervision. these links should contribute, inter alia, to effective information - sharing as well as to providing an additional channel through which the “ output ” of the deliberations of the new eu macro - prudential supervisory body will be communicated to the micro - prudential supervisors and help trigger appropriate policy measures. this could include changes to capital requirements and liquidity buffers in order to respond to identified emerging systemic risk. and this observation brings me to my last two points. the de larosiere group emphasised that once a macro - prudential risk warning has been issued “ it must be clear to everyone who should act and according to which

##fois. 13 pays aujourd ’ hui et 25 pays demain ou apres - demain ont decide d ’ unir leur destin. ces 25 democraties ont democratiquement approuve les dispositions qui les unissent. ces dispositions ne sont pas inscrites sur un chiffon de papier. elles sont inscrites dans un traite international qui engage tous ceux qui l ’ ont ratifie au terme d ’ un processus exemplaire. mes collegues du directoire, du conseil des gouverneurs et moi - meme, nous mesurons pleinement la confiance et l ’ honneur qui nous ont ete faits de definir et mettre en oeuvre la politique monetaire de l ’ euro, en toute independance, pour assurer la stabilite des prix conformement au traite. c ’ est ce double sentiment de confiance et de responsabilite qui nous anime.