4, 200 billion. that is – believe it or not – 2½ times denmark's gross domestic product. that was what it took to rescue the banking sector and the danes'deposits. we don't want to end up in that situation again! the financial crisis showed that regulation is all - important if we are to have a robust financial sector. but also that regulation has a built - in paradox : in a world without regulation, trust is generally low. so a bank must be extremely strong if customers are to have confidence in it. page 5 of 9 in a world with regulation, trust in the financial system is high. and individual banks may be weak and just free - wheel. for many people – including myself – the financial crisis made it very clear that we had created a system where the banks reap the gains in good times. but when things go wrong, society and the tax - payers are left to foot the bill. in other words : in good times we have capitalism. in bad times – socialism. surely, there is something wrong. if a craftsman or an industrial enterprise is imprudent, the firm will close. owners and creditors will have to pay for the mismanagement and gambles. that is how it should be! also for banks! that is why danmarks nationalbank wants regulation that will allow banks to fail without passing the bill to society and its citizens. and we are moving in that direction. tax - payers should not pay for the banks'spirit of adventure. and for society it is of paramount importance that the financial system functions. that it is possible to borrow. that it is possible to save. that the value of money can be trusted. also during a banking crisis. * * * ultimately it is about making people feel secure. it is not about us who are sitting here in the banking hall today. but about all those outside this room. all those who are at work or at home – or who have gone on holiday. and who may not even know that danmarks nationalbank is 200 years old today. it was certainly a surprise to some of the people in the video shots we just saw. and that is okay – although we have actually done quite a lot to advertise this anniversary. a wish that was also expressed in the video. page 6 of 9 but basically, money and banks should simply function. ordinary people should not have to worry about that. you might say that when we do our work

prosperous. denmark is a small country. we do not have large deposits of raw materials. our wealth was created by exploiting the opportunities the world offers. via international trade. free flows of capital. inspiration from other countries. but we cannot just assume that the door to the world will always be open. in these years, some people want to slam that door. some want to shut off trade with other countries. shut down partnerships. shut out the world. that will not benefit small countries. it will never benefit denmark. over the last 200 years, we have become far more prosperous. in terms of real wages, we are 17 times as rich as we were 200 years ago. we have greater opportunities. this is because we are an open country. page 8 of 9 denmark may be surrounded by water, but we are not an island that is isolated from the rest of the world. we should appreciate the opportunities the world offers us. but we should also be aware that the stable monetary system which we may regard as a law of nature can by no means be taken for granted. we live in an age when fake news and distrust are flourishing. so one of the most important future tasks is to protect danmarks nationalbank's credibility. that requires continued political determination. for who are the greatest losers if the world becomes more closed? if stability is jeopardised? if trust is lacking? the answer is ordinary people, who can no longer trust the value of the money they have earned. that is why danmarks nationalbank should always be a little concerned. even in optimistic times – especially in optimistic times – as this is when we must prepare for the day when dark clouds appear on the horizon. a secure currency for the danes. that has been our aim for 200 years. from the napoleonic wars until today. in that respect danmarks nationalbank is banker to all of denmark. thank you for joining us in celebrating our first 200 years. together we must defend openness. trust. and security and stability. thank you. page 9 of 9