reserve board or the federal open market committee. 2 some have argued that the large change in payroll employment should be discounted because of unusually warm weather ; however, estimates of weather - adjusted employment are also quite large. see federal reserve bank of san francisco ( 2023 ), " weather - adjusted employment change, " webpage. 3 of course, more people finding jobs is good. but in the context of ongoing labor market tightness, this above trend number can complicate efforts to move the economy toward price stability, on which my remarks go into more detail. 4 each year, with the release of the january cpi, the bureau of labor statistics recalculates seasonal adjustment factors. this adjustment resulted in noticeable revisions to 2022 seasonally adjusted cpi prices. 5 this estimate of the terminal rate would align with the central tendency of fomc participants'projections of the federal funds rate at the end of 2023. 3 / 3 bis - central bankers'speeches

ardian fullani : basel ii, its implications, opportunities and challenges ahead for albania and southeastern europe speech by mr ardian fullani, governor of the bank of albania, at the southeastern european financial forum, the second edition, bucharest, romania, 11 november 2005. * * * ladies and gentleman, the topic to be discussed at this forum is certainly timely. you need not look any further than news headlines to understand why risk management matters so much. several events remind us that when banks lack the commitment to manage their risk prudently, they will fail to uphold their responsibilities to their shareholders and public at large. consequently, the cost to society can be high and the impact on the economy devastating. sound corporate governance comes about only when there is a genuine commitment to do the right thing and to manage risks in whatever form they may arise. risk managers must provide timely, objective and accurate information to their management. in turn, senior management and board of directors need to make sure that there is an atmosphere of transparency within the firm, one that promotes healthy and disciplined risk taking. in order to improve understanding and management of risk, the basel committee has been formulating regulatory approaches to foster a safe and sound banking system and greater stability within financial sector. it has become clear, though, that the 1988 accord and many of its amendments have become outdated and overtaken by advances in the banking and the financial sector, and other economic developments. as a consequence, the basel committee has come up with a new proposal known as basel ii. this proposal is intended to be more risk sensitive than the 1988 accord, in order to provide a better alignment and calibration of regulatory capital and capital adequacy with the underlying economic risks that banks face. categorizing debtors into a fewer risk ‘ buckets ’ was certainly a progress in 1988, but it open the gap between the regulatory risk measurement of any given transaction and its actual economic risk. this favours high risk loans over the low risk ones, given the 100 % risk weight charged, irrespective of the risk profile of firms receiving the loan. consequently, it adversely affects the accuracy of assessing capital requirements and allocation. the most concerning side - effect has been the distortion of financial decision - making which is, loans and investments made on basis of regulatory constraints rather than genuine economic opportunities. the new basle ii accord tries to improve on these issues by encouraging banks to become more sophisticated in their risk assessment and aligning more rigorous