according to a survey by deutsche bank, it is possible to negotiate average price reductions of just under 5 %. 4 many chinese enterprises prefer to invoice in renminbi in any case, as it is difficult for them to exchange foreign currencies for renminbi. german entrepreneurs that wish to bolster their market position in china now have a way of entering into business dealings with such chinese enterprises easier. despite these advantages, many enterprises still hesitate to use the renminbi. the reasons given are the renminbi ’ s sticky convertibility and restrictions on the movement of capital. furthermore, until recently it was not possible to directly trade euros and renminbi. additionally, many smes shied away from using offshore markets like hong kong, since they want to avoid operating in a different time zone and business language. these caveats are now cleared away by the ongoing liberalisation. 2. 3 milestones since the end of september, it has also been possible to trade euros and renminbi directly on the chinese interbank foreign exchange market at an exchange rate fixed by cfets time period : august 2012 to august 2014, source : http : / / www. swift. com / assets / swift _ com / documents / products _ services / rmb _ tracker _ sept2014 _ sdc. pdf. swift data http : / / www. hsbctrinkaus. de / tubweb / pressroom. nsf / 0 / 4ca9d61803f1d8dec1257d1000264358 / $ file / 2014 – 07 – 09 % 20pm % 20hsbc % 20internationalisierung % 20renminbi % 20studie % 202014. pdf. https : / / www. db. com / medien / de / content / 3862 _ 4188. htm. bis central bankers ’ speeches ( china foreign exchange trade system ) in shanghai. the euro has thus become the tenth currency to be exchangeable directly for renminbi. 5 in addition, the chinese government is currently strengthening the renminbi offshore markets, giving importers outside china a means of paying in renminbi. this year, the chinese authorities gave the go - ahead for the first clearing banks outside asia : germany had the honour of underwriting the first memorandum of understanding on renminbi clearing in europe. subsequently london, paris, and luxembourg followed. in future, german

of outstanding issues, these areas continue to present challenges in reaching the desired end state. • second, as i ’ m sure you would agree, we collectively still have quite a bit of work to do to fully implement all of the changes required under new rules and regulations. and, we must continue to devote sufficient attention and resources to complete the efforts. at the same time, though, it is important to take stock of the changes made over the past few years – for two important reasons : first, to assess the impact of those changes, both intended and unintended ; and, second, to understand the contours of the “ new ” financial system operating under the range of new rules and regulations, both national and global in nature. such a stocktaking is important to bis central bankers ’ speeches ensure that we collectively understand how the “ new ” financial system is operating. firms and supervisors will continue to face challenges and competing demands as we press, in the months and years ahead, on implementing necessary changes and assessing the “ new ” financial system. what the future holds one of the topics that i feel will compete for, and will deserve, a lot of attention in the foreseeable future is cybersecurity. i am often asked about my list of “ things that keep me awake at night, ” and i think it ’ s fair to say that cybersecurity is at the top of that list – as i ’ m sure it is for many of you in this room. in fact, i think cybersecurity is one of the topics that should be on everyone ’ s list – from the most senior managers and boards of directors, all the way down to line managers. cybersecurity is not a topic or an issue just for the information technology staff or the cio to address ; it is a risk that isn ’ t exclusive in who, what or where it targets. • it is a risk that is difficult to clearly define. • it is a risk that is constantly evolving. • it is a risk that is not limited to one source. • it is a risk that is faced by every single financial firm, regardless of size or complexity. • in fact, it is a risk that is faced by every business, organization, school, church or group that uses technology. in other words, no company is immune ( unless, of course, you operate an all cash business from a brick and mortar store and keep your earnings under your mattress – not